Fineqia International (CSE:FNQ) (OTC:FNQQF) put together a subsidiary called Fineqia AG in Liechtenstein to get a better foothold in the European markets.
Liechtenstein was one of the first countries in the world to regulate the digital asset industry. It started with the Blockchain Act in January, 2020. The law gives businesses regulatory and legal guidance regarding blockchain related services. These include tokenization of assets and rights involved classification of tokens based on utility, security and payment. It also included rules governing public offerings.
“Seeds of innovation need a fertile ground to germinate. Liechtenstein is proving to have such soil,” said Bundeep Singh Rangar, CEO of Fineqia.
Fineqia focuses on providing a platform to support securities issuances and manage administration of debt securities. Lately it has expanded to include alternative finance options, including a growing portfolio of blockchain, fintech and cryptocurrency technology companies.
Read more: Fineqia International report displays fate of cryptoassets in 2022
Read more: The Mugglehead technology review: crypto under conflict edition
Liechtenstein and cryptocurrency
This new European entity give the company the impetus it needs to expand its business into the European Economic Area (EEA). Liechtenstein has created laws compatible with the regulations of the European Union (EU). One such law enables local business to operate across various EU markets. The country also received the highest global ranking by PricewaterhouseCoopers (PWC) for the second year in a row for crypto tax guidance. PWC’s evaluation criteria used 19 factors to determine comprehensiveness of policies on digital assets, taxation of mining, staking and NFTs.
Separately, Fineqia announced the closing of its CAD$5 million private placement $5 million has been extended to December 10, 2022 due to health situation of the company’s CFO. Subsequently, the company closed the second tranche of a non-brokered private placement and raised $4,546,224 last month. Investors were the Wavemaker Genesis Master Fund, a fund managed by Wave Financial, which subscribed 15 per cent of the second tranche. Fineqia issued 420,122,400 Units to raise gross proceeds of C$4,201,224 in this tranche.