We often hear about people doing their investments with Bitcoins. Global investment funds like Goldman Sachs, American Express, Nasdaq and ordinary entrepreneurs all started to talk about this subject. With the successful completion of the crowd-funding of the Bitcoin exchange KUNA in Ukraine, the relevance of such investments has only increased. Let’s take a look at the non-standard model of attracting investments in Bitcoins at the junction of securities, corporate law, and economic value.
Returning to the idea of introducing Bitcoins into the authorized capital of the enterprise, it should be added that such practice already exists in Italy, and the recognition of Bitcoin as an intangible asset is defined in the legislative acts of Australia and the USA.
First, we need to decide on the advertising campaign of the project that needs to attract Bitcoin investments. Having gathered investors who were interested in the project (say, 100 people), it is necessary to organize a general meeting of investors-founders of the joint-stock company, at which a decision is made on the private placement of shares.
Since the Law of Ukraine "On Joint Stock Companies" allows to make intangible assets that have a monetary value as a payment for placed shares, we determine the value of one share at 100 UAH, which in the cryptocurrency equivalent will be 0.00021 Bitcoins.
Proceeding from the fact that, according to the legislation of Ukraine, the authorized capital of a joint-stock company should be at least 1,250 minimum wages, which currently corresponds approximately to 1 million 700 thousand UAH, we register 17 thousand shares in the National Commission for Securities and Stock Market. As a result, it is possible to form a charter capital of approximately 4 BTC. Recalling that our appraiser already has experience in assessing "digital assets", we are carrying out a private placement of shares.
After that, investors must contribute the necessary number of Bitcoins in order to redeem the necessary number of shares. Then, a report on the placement of shares is submitted to the National Securities and Stock Market Bank, the charter is approved and the JSC is registered.
Thus, an investor who introduced 1 Bitcoin as a "payment" for securities will receive 4250 shares, which in fact confirms the ownership of the same 1 Bitcoin contributed to the charter capital of the joint-stock company. Isn’t it an interesting form of proof of ownership of the cryptocurrency?
Further, there are options for entering an IPO, attracting investments from abroad and scaling the company. And since the calculations are made based on the current rate of the cryptocurrency, and it is difficult to deny the current fluctuations of BTC price, the increase in the prices for such shares open up the horizons for the use of derivatives in trading securities.
Accumulating in the authorized capital of 100+ Bitcoins, you can already think about starting your own crypto exchange, investing in start-ups or doing "crypto-banking" activities, taking deposits and issuing loans in Bitcoins. The profit from such activities will be distributed as dividends between the owners of the shares.
And while we are discussing such fantastic ideas for the Russian-speaking Bitcoin community, the developed infrastructure of exchanges and the developed legal system already allows it to be done in the West, yielding impressive profits to its investors.
Attacking Bitcoin investments mind their origin as many cybercriminals use Bitcoins for their illicit activities like gaining profits from ransomware.
Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.