DOVU Works With KPMG to Set New Benchmark for Token Sales
The recent regulatory crackdown in China signals the end of crypto's 'Wild West' ICO days, but DOVU are staying ahead of the curve
LONDON, Sept. 6, 2017 /PRNewswire/ -- DOVU, the blockchain-powered market for transport data, has taken steps to ensure its token sale will be conducted to the highest standards – including crime risk management measures - collaborating with global accountancy firm KPMG on its company and financial structure.
Monday's announcement that Chinese authorities are banning fundraising through blockchain crowd sales for Chinese operators for so-called Initial Coin Offerings (ICOs) sent shockwaves through the crypto markets. Since the beginning of 2017, well over $1 billion, mainly in bitcoin and ether, has flowed into such token sales. Blockchain has established itself as a powerful tool for crowdfunding new tech platforms, but still the growing token sale industry also has brought with it the risk of scams, hacks, pump-and-dump schemes, and a general lack of corporate governance and accountability.
DOVU: Raising Standards
Now DOVU, which is backed by Jaguar Land Rover's innovation arm InMotion Ventures, is establishing a new benchmark. DOVU aims to provide the mobility industry with large and high-quality data sets, sourced from a wide range of stakeholders including grassroots users. Businesses will pay for access to this data using Ethereum-based DOV tokens, which are offered through a crowd sale on 3 October.
The DOVU team has spent the last 12 months ensuring that they are structured correctly for a properly managed token integration, working with blockchain legal experts Ramparts to create a distinct corporate entity.
"We are pleased to welcome KPMG, one of the top 4 global accountancy firms, as our advisors, working with us on our company and financial structure."
- Irfon Watkins, Founder and CEO of DOVU
DOVU's most recent adviser is Andrew Hodgson, Senior Partner at KPMG Corporate Finance. Hodgson joins a highly professional team of transport industry and blockchain experts. The project's token sale includes wallet risk profiling and high value customer due diligence processes (using a risk-based approach) to better deal with the risk of crime. With the industry under scrutiny, many will find DOVU's token sale precautions reassuring.
Chinese Ban
The news that China's regulators will prevent Chinese entrepreneurs from raising funds via token sales is likely to bring further focus on this sector in other jurisdictions. Whilst there is some speculation that this is strongly related to concerns about capital flight by Chinese residents, whatever the reasons for the new prohibition in China, it highlights the need for organisations in this sector to carefully structure their sales, consider the risks of crime and the potential applicability of crowdfunding and securities law restrictions.
DOVU's public token sale is scheduled for 3 October, 2017. The presale launched on 4 September.
For more information or to participate in the crowdsale, visit: www.dovu.io/presale.
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