A new publication hopes to bring standards to cryptocurrencies while at the same time positioning London as the hub of activity.
Developed by Professor Michael Minelli’s Z/Yen Group and backed by the Long Finance community, the London Fundraising Token Manifesto is a voluntary code of conduct governing ICOs and ITOs. It is modelled on the Chartered Institute of Investment & Securities Code of Conduct which consists of eight principals including honesty, integrity, and fairness.
Professor Michael Mainelli, lead author of the Manifesto, stated: “Those of us in the Long Finance movement who are excited about the technology equally look to the long-term over the short,” Prof. Mainelli said.
“Corporate ethical frameworks and professional codes of conduct matter. Over time, ‘meum fidem, meum pactum’, ‘my word is my bond’, prevails. This proto-bubble needs a strong dose of self-regulation and we hope our Manifesto is not-so-token but leads to real behaviour change.”
Antony Abell, the signatory of the London Fundraising Token Manifesto and co-founder of blockchain applications company TrustMe, commented: “The lack of confidence in Initial Coin Offerings and Initial Token Offerings is of growing concern to finance professionals who are keen to uphold standards in the City,” TrustMe cofounder Antony Abell said. A signatory to the documents, Mr. Abell noted legitimate companies are suffering from the actions of unscrupulous ones.
“A high standard of transparency, clarity and integrity are imperative requirements for the ICO/ITO industry to create a sustainable model that facilitates the rapid fundraising needed for fast-growth technology firms in a globally competitive marketplace,” he added. “This must sit alongside an implicit agreement with investors to provide the information and necessary process that will create increasing trust in the integrity of ICOs/ITOs.
“The City of London’s financial procedures are looked upon by many across the world as a ‘gold-standard’ to aspire to. This new area is one in which the finance industry can work together with regulators and investors to champion the best elements of ICO/ITO fundraising process, cementing London and the UK as a leading destination for the latest cohort of disruptive start-ups.”