Understanding how assets are transformed into digital tokens through a Special Purpose Vehicle
Establish a legal entity in a suitable jurisdiction to hold assets and issue tokens
Create documentation defining token rights, governance, and compliance requirements
Transfer target assets to the SPV through legal title transfer or rights assignment
Deploy smart contracts on blockchain representing ownership shares in the SPV
Implement KYC/AML procedures and regulatory requirements in smart contracts
Issue tokens to investors through private offering or public sale with regulatory compliance
Legal entity holding the assets
Real estate, equity, debt, or other assets transferred to SPV
Blockchain code defining token behavior and compliance rules
Investors who purchase and own the tokenized shares of the SPV
SPVs provide a clear legal structure that defines the relationship between token holders and underlying assets, reducing legal uncertainty.
Assets held in an SPV are segregated from the original owner's other assets, providing protection from unrelated liabilities.
SPVs can be structured to optimize tax treatment for both issuers and investors, particularly in tax-neutral jurisdictions.
SPVs can be established in jurisdictions with favorable regulatory environments for digital assets and blockchain technology.
Select the optimal legal structure for your tokenized assets. SPVs offer tax efficiency, privacy, and regulatory compliance across key jurisdictions.
First U.S. state to recognize DAOs as legal entities, offering a progressive framework for blockchain-based organizations with LLC protection. Recommended for non-US investors.
Setup Cost
$3,000-$5,000
Annual Fee
$110-$260
Timeline
3-4 weeks
The British Virgin Islands offer a tax-neutral jurisdiction with strong privacy, minimal reporting requirements and a respected common-law legal system ideal for international business.
Setup Cost
$6,000-$10,000
Annual Fee
$800-$2,700
Timeline
5–7 weeks
Strong asset protection, banking privacy, and territorial taxation, making it ideal for global business operations and investments.
Setup Cost
$5,000-$8,000
Annual Fee
$600-$1,200
Timeline
5–7 weeks
Compare key features across jurisdictions to find the ideal structure for your tokenization project on our platform
| Jurisdiction | Setup Cost | Annual Maintenance Fee | Tax Benefits | Regulatory Environment | Ideal For | Timeline |
|---|---|---|---|---|---|---|
| Wyoming DAO LLC | $3,000-$5,000 | $110-$260 | Pass-through taxation | DAO-friendly, progressive | Blockchain projects | 3-4 weeks |
| BVI Limited Company | $6,000-$10,000 | $800-$2,700 | Tax-neutral | Privacy-focused, stable | International business | 5-7 weeks |
| Panama IBC | $5,000-$8,000 | $600-$1,200 | Territorial taxation | Strong asset protection | Privacy-focused business | 5-7 weeks |
Wyoming is the first U.S. state to recognize DAOs as legal entities, offering a progressive framework for organizations with the benefits of LLC protection. It is particularly attractive to non-US investors looking to establish a legal structure for their project.
First U.S. state with formal DAO legislation.
LLC tax benefits with flow-through structure.
Strong privacy protections for members.
Progressive regulatory environment.
No state income or franchise tax.
| Item | Cost | Description |
|---|---|---|
| Formation Fee | $3,000 | State filing and registered agent |
| Registered Agent | $50-$200/year | Required by law |
| Annual Report Fee | $60/year | State maintenance fee |
| Legal Documentation | $1,500-$3,000 | Operating agreement and DAO protocols |
| Total Initial Setup | $4,500-$6,200 | Approximate first-year cost |
Submit the required documentation to the Wyoming Secretary of State.
Appoint an agent with a physical address in Wyoming.
Create agreement with smart contract governance provisions.
Define voting mechanisms and decision-making processes.
Set up compliance processes for token-holders.
Wyoming DAO LLC
Smart Contract
Governance Rules
Token Holders
Voting Rights
Legal Compliance
Asset Management
Operations
Our platform enables dividing ownership into smaller, more accessible units, lowering the barrier to entry for investors
Our solution facilitates easier transfer of ownership stakes with built-in secondary market capabilities
Our platform enforces regulatory requirements through automated processes and compliance tools
Our solution simplifies cap table management and investor communications with integrated tools
File Articles of Organization and appoint registered agent.
Draft and finalize Operating Agreement with DAO provisions.
Complete setup and begin operations.
The British Virgin Islands offer a tax-neutral jurisdiction with strong privacy, minimal reporting requirements and a respected common-law legal system ideal for international tokenization projects.
No corporate, capital-gains or withholding taxes.
Strong confidentiality for company information.
Limited public reporting requirements.
Respected legal framework based on English law.
Stable political and economic environment.
Name reservation and document preparation
Filing with Registry and agent appointment.
Corporate documents and resolutions
Legal compliance and documentation review
Complete setup and begin operations
Panama International Business Companies offer strong asset protection, banking privacy, and territorial taxation, making them ideal for global tokenization projects requiring privacy and asset protection.
Only Panama-sourced income is taxed.
Strong laws protecting business assets.
Confidentiality in financial matters.
Freedom from exchange controls.
Minimal corporate requirements.
Name reservation and document preparation
Filing with Public Registry and agent appointment.
Corporate documents and resolutions
Legal compliance and documentation review
Complete setup and begin operations
The information provided on this website is for general informational purposes only and does not constitute legal, tax, or investment advice. All information is provided in good faith, however we make no representation or warranty of any kind, express or implied, regarding the accuracy, adequacy, validity, reliability, availability, or completeness of any information presented. Consult qualified professionals in the relevant jurisdictions before taking any action based on the information provided.