Legal advice, tax structuring, transaction support services, and business matchmaking on FinTech, cryptocurrency, digital asset ventures, and financial services
PUGNATORIUS Ltd. is the Bangkok-based specialist provider of transactional legal and tax advice on foreign investments in Thailand’s manufacturing and service industries as well as property acquisition and developments. FinTech, including crypto ventures as well as financial services, are one of the core business and competence areas of the law firm.
The law firm has specific expertise and know-how with respect to financial service companies, cryptocurrency, and digital asset businesses as well as ICO ventures and maintains close connections with Thailand’s SEC, MOF Ministry of Finance and BOT Bank of Thailand, as well as the fintech-specialized departments of the Thailand Revenue Department.
Its lawyer’s publications are frequently read and quoted and its conference speeches are top-flight and well-attended. The law firm is the trustworthy advisor for strictly confidential legal and tax advice and support, focussed on foreign entrepreneurs and cryptocurrency UHNWI’s, based on a deep knowledge of the tax and regulatory framework, and backed by a wealth of practical experiences to skillfully manage and command digital asset projects in a multi-currency, multi-legislation and multi-business environment.
The law firm has been the keynote speaker on the Bangkok Blockchain Summit 2019 on the topic “Thailand’s regulated ICO – Advantages, requirements, risks”. It has been the speaker on the international conference on blockchain, cryptocurrencies, and digital assets in Hyderabad, India 2018 to lecture on Thailand’s regulatory framework for cryptocurrencies, digital asset businesses and ICOS.
Seven areas of legal support and tax advice in the FinTech industries
PUGNATORIUS Ltd. provides legal and tax services on a wide range of financial services, fintech, and cryptocurrency matters. Professional assignments cover mainly these seven areas:
#1. Legal advice and legal opinions: The law firm provides reliable and trustworthy advice on how to structure and operate a financial service, fintech, or digital asset business in Thailand. It explains the regulatory requirements and the current policies of Thailand’s Security & Exchange Commission, Ministry of Finance, Bank of Thailand, and Thailand’s Revenue Department. It gives advice with respect to Thai compliance requirements for foreign financial services, on how to accomplish an Initial Coin Offering in Thailand, licensing procedures in Thailand, crypto payment systems, crypto custody services, as well as the tax structuring of cross-border crypto-businesses.
The law firm is available for legal opinions on legal and tax aspects of financial services, cryptocurrency, and digital asset projects. It advises foreign service providers that are intentionally or occasional addressing Thai customers and investors. This includes professional statements on the regulatory character of utility tokens, asset-backed coins, non-fungible token ventures, the applicable laws and regulations in a cross-border digital venture, and the need for licenses and approvals.
PUGNATORIUS Ltd. provides foreign financial advisory and investment firms with advice and a legal opinion on cross-border investment and ancillary services in Thailand and to Thai customers, including reporting, approval, authorizing and license requirements for certain tasks and operations, representatives, online and offline marketing activities, and other activities.
#2. Thai crypto-compliant company formations: The law firm provides comprehensive assistance in the formation of Thai companies in compliance with the rules and regulations for digital asset businesses, ICOs, financial services, and other FinTech activities. It advises to establish a crypto-company under the U.S. Thai Treaty of Amity and under the investment promotion scheme by the BOI and supports regarding other challenges that require a well-considered approach.
PUGNATORIUS Ltd. is the advisor and arranger of the acquisition or sale of crypto businesses, the structuring of joint ventures between crypto and non-crypto fintech companies, and the mediation of conflicts and disputes within the digital asset and cryptocurrency industry.
#3. Digital asset licensing: The law firm advises on the preparation and application for digital business licenses as a crypto exchange, trader, broker, or ICO portal. It provides a comprehensive transaction support service through all the steps of the licensing procedure and is well-experienced to negotiate directly with Thailand’s Security and Exchange Commission SEC, the Ministry of Finance and/or the Bank of Thailand.
Thailand’s SEC monitors carefully any infringement of the Digital Asset Decree from abroad. This includes any form of Thai language online activities, any contacts with potential Thai customers, and various other marketing activities. PUGNATORIUS Ltd. is experienced to discuss such law infringements with the governmental agency to minimize fines, to limit the activities to a lawfull scope and to avoid a blacklisting of the foreign company in Thailand. Also, the law firm provides advice and guidance on the marketing (roadshow, etc.) and offering of digital assets by (i) registration statement and prospectus for retail customers or (ii) in a private placement to Institutional Investors, ultra-high net worth individuals (UHNWI), etc.
#4. Financial services: Apart from crypto-fintech, the law firm advises and supports securities business license type A, B, C and D, the business license to undertake advisory services, securities borrowing and lending, as well as to undertake venture capital management.
The law firm advises in the establishment of peer-to-peer lending platforms in accordance with the Notification of the Capital Market Supervisory Board on May 15, 2019.
#5. Blockchain and ICO/STO advisory services: Based on extensive experiences in the FinTech sectors, the law firm advises on the most streamlined way to successfully accomplish an ICO, acts as CLC chief legal counsel (“gatekeeper”) respectively CLO chief legal officer for cryptocurrency ventures, advises regarding digital asset compliance, legal validity, and economic feasibility, enforces claims in crypto litigations, ICO exit scams, and other criminal behavior.
Legal and regulatory advice, assistance and support on the offering, transfer, and marketing of tokenized securities (investment tokens). STO Security Token Offering projects are just starting as the next phase of the natural evolution of markets and society.
PUGNATORIUS Ltd. advises on the regulatory compliance of roadshows and sales pitch to prospective investors including large institutional investors, money managers or brokerage firms by the underwriting firm, marketing team or executive management team for foreign IPOs, ICOs, securities, and other non-Thai financial products.
2020 will be the year of ICO litigation. The PUGNATORIUS group accomplishes a comprehensive litigation support service in a multi-jurisdiction environment. Legal project management regarding ICO litigations on remote jurisdiction, communication with foreign lawyers, processing and highlighting of action alternative enforcement opportunities. The law firm supports ICO developers and promoters in the analysis of litigation risks, active risk management, asset protection mechanisms, and Chinese Walls.
#6. Thai and cross-border tax structuring: As renowned tax counsel, PUGNATORIUS Ltd. advises on cryptocurrency taxation and a tax-efficient structuring of Bitcoin and Altcoin transactions regarding
- Personal income tax (PIT) implications for casual Bitcoin users, investors, and speculators,
- Corporate income tax (CIT) implications for cryptocurrency and other digital asset ventures
- Withholding tax (WHT) obligations
- Value-added tax (VAT) implications
Also, the Bangkok tax counsel advises on tax structuring and asset protection schemes, especially the use of offshore jurisdictions, the tax-efficient restructuring of existing cryptocurrency wealth structures and digital asset ventures, the taxation of cryptocurrency losses, and internationally recognized asset protection schemes.
Advice on domestic and cross-border tax optimizing for ICOs and digital asset businesses on the corporate level and from the investor’s viewpoint. The Bangkok law firm gives full disclosure for clients abroad, which tax structuring opportunities in Thailand with its territorial tax system and unique taxation principles enable to be washed clean of past sins.
Cryptocurrencies, same as offshore companies, do not base their eligibility on anonymity and masking of ownership. Instead, they allow a smart tax planning and investment structure to obtain various benefits fully in compliance with the law. Legal and tax advice on digital coins are not at all assistance in crime.
The law firm advises on the set-up of digital coin businesses in offshore jurisdictions and crypto-friendly legislations, the outsourcing of tasks and activities to an offshore location and the operating of international ventures from Thailand. It offers an in-depth comparison and pre-selection of different offshore locations and transaction management of the whole set-up process.
#7. Cryptocurrency transaction support services: The law counsel supports and assists in a highly confidential manner to transfer cryptocurrencies into fiat money, real estate or other real-world assets in a tax-efficient and compliant structure (crypto2fiat, btc2cash). This includes the cashing out of Bitcoin and cryptocurrencies in private banks and advice and support on OTC Dark Pool (ODP) services.
The law firm appreciates the opportunity to discuss trustee services, authorized representative duties, the support of offshore cryptocurrency cold storage arrangements, and other asset protection and tax planning schemes on a highly confidential basis.
Free industry updates vs. paid professional services
Free industry updates and professional considerations on cryptocurrencies, digital asset businesses, financial service ventures, and other FinTech segments are available at pugnatorius.com/fintech and can also be found in several Internet publications. These posts can provide a low-resolution snapshot and are neither deemed to be legal advice nor do they result in an attorney-client relationship.
Each case is different. Telephone inquiries and ad-hoc email requests on Thailand’s regulatory framework without details and documentation are not accepted by the law firm. Individual support and professional advice are available under a paid consultancy agreement only.
PUGNATORIUS can guide your crypto project through the red-tape requirements, legal hurdles and industry practice in Thailand. Up-to-date information about the legal and regulatory framework of Thailand’s digital asset markets. Independent advice on risks and opportunities. Lessons you do not want to learn the hard way.
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