Questions & Answers

Questions & Answers 150 150 Digitorney Group

What is Digitorney?

Digitorney® headquartered in Amsterdam is a world leading digital market place in the fields of business law. Companies get access to more than 5,000 lawyers in nearly 50 countries via this “Digitorney Plus” platform. Thereby, Digitorney finds suitable experts worldwide in a digital manner and in every field of business law. In addition, we create case summaries and thus help both companies and lawyers to be more productive and successful. Furthermore, companies can make use of legal tech solutions such as artificial intelligence, blockchain communications, digital compliance, document automation and legal workflow management.

What is an STO?

STO stands for Security Token Offering – a combination of Initial Public Offering (IPO, i.e. flotation of company shares) and Initial Coin Offering (ICO, i.e. raising of capital by issuing tokens as crypto currency). The company's shares are being tokenized through a Dutch Foundation that owns shares and issues certificates related to every share. Every token is hence related to share.

How does the STO work?

The Digitorney Foundation (STAK = Stichting Administratiekantoor under Dutch law) holds shares in Digitorney Group B.V. („DGBV“) as holding company of Digitorney Group. The Foundation issues one certificate on each issued Digitorney-Share which certifies the economic value of the shares. Thereafter, Ethereum Tokens (“DGTY”) will be issued by the Foundation based on issued certificates. These tokens are Euro denominated and can be purchased by investors on the Netherlands based website of Digitorney while paying with credit card, Paypal or CoinGate. Every DGTY provides voting rights and dividend rights, offers participation in the company value of DGBV and can be traded on eligible crypto exchanges presumably in the course of 2019.  The listing (secondary market for exchange) of DGTY is regulated and requires necessary permits which are to be acquired.

What is the time schedule for Digitorney's STO?

Digitorney starts its STO on 14 December 2018. There will be a discount of 15% for investors until 31 December. The hard cap of the STO amounts to € 5.0 million in total. Admission to trading on crypto exchanges, so called listing, is planned within 12 months after the STO and ideally in the course of 2019.

Which investors can participate in the STO?

In the first step (for the Pre-STO), we address to institutional investors, e.g. funds or familiy offices. In the second step, all investors, including private investors, can participate in Digitorney STO. For regulatory reasons, this is a Dutch transaction and investors based in Afghanistan, Bosnia and Herzegovina, Irak, Iran, Laos, North Korea, Syria, Uganda and Yemen cannot participate.

Where or how can be invested in the STO?

Digitorney sets up an online shop for the STO on its website. From there you can pay by credit card, bank transfer or Paypal in Euro and receive DGTY in return when the STO ends and all funds have been collected. The funding accounts will be blocked until the moment of distribution. CoinGate will be available as another payment method: investors can pay their DGTY in accepted crypto currencies which will be converted to Euro by CoinGate for Digitorney.

Which currencies can participate in the STO?

You can only invest in Digitorney STO in Euro if credit card, bank transfer or Paypal are used. In addition, it is possible to convert accepted crypto currencies to Euro.

How do investors benefit from the STO?

Investors have the opportunity to become part of Digitorney’s success story: firstly, they can benefit in an increase of the enterprise value and take part in the equity upside if it comes to a sale in future. Secondly, they can trade DGTY on the secondary market once the listing with a licensed party has happened.

Which financial risks do STO investors take?

As any other IPO, there is a risk of a total loss of investment for investors because ultimately company shares of Digitorney Group B.V. are the underlying of each DGTY and typical entrepreneurial risks result consequently. Moreover, it cannot be excluded that Digitorney’s business model may be restricted partially or fully in certain countries for regulatory reasons and therefore the growth is limited. For further details please see the risk section in the Whitepaper.