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Lex Exchange advised on ‘Australia’s first digital currency exchange token offer’
Hall & Wilcox has advised Lex Exchange on what’s being touted as the first digital currency exchange token offer in Australia.
Emma Musgrave
Firm: Hall & Wilcox (Lex Exchange)
Value: Through the digital currency exchange token offer, Lex Exchange plans to raise between US$2 million and US$12 million, according to a statement from Hall & Wilcox.
Area: Finance
Key players: The Hall & Wilcox team was led by special counsel John Bassilios, with assistance from lawyers Joni Pirovich and Will Francis, partner Anthony Bradica and special counsel Jim Koutsokostas.
Deal significance: Lex Exchange provides cryptocurrency exchange services.
Its “Australian-first” digital currency exchange token offer included a “world-first” detailed tax disclosure, the statement from Hall & Wilcox said.
“We are proud to have been involved in the first offer of a digital token by a digital currency exchange in Australia and the first whitepaper in the world (that we are aware of) to include detailed tax disclosure for acquirers of the token,” said Mr Bassilios.
“Our cross-section blockchain practice group has the skills to advise on all blockchain-related matters from regulatory (including AFSL and AML/CTF) to tax to IP/IT and general corporate commercial.”
Commenting further, Ms Pirovich said the Hall & Wilcox team and Lex Exchange engaged early with the Australian Taxation Office regarding the tax implications of the token sale so that any material tax risk could be managed proactively.
“This is a world-first detailed tax disclosure, which will help those acquiring tokens to be informed upfront about the general tax consequences of acquiring and using the tokens,” she said.
“The detailed tax disclosure sets a best practice standard, which we hope will be replicated for other token offers in Australia and in the world.”
Emma Musgrave
Emma Musgrave (née Ryan) is the managing editor, professional services at Momentum Media.
Emma has worked for Momentum Media since 2015, including five years spent as the editor of the company's legal brand - Lawyers Weekly. Throughout her time at Momentum, she has been responsible for breaking some of the biggest stories in corporate Australia. In addition, she has produced exclusive multimedia and event content related to the company's respective brands and audiences.
Prior to joining Momentum Media, Emma worked in breakfast radio, delivering news to the Central West region of NSW, before taking on a radio journalist role at Southern Cross Austereo, based in Townsville, North Queensland.
She holds a Bachelor of Communications (Journalism) degree from Charles Sturt University.
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