Category: E&S Group

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Trust vs Foundation- what is the difference?

Categories E&S Group, Trust, Foundation

Trust vs Foundation- what is the difference?

Even if you are not a legal or financial expert, the chances are that you have heard of both Trusts and Foundations. Both of these are available to private individuals such as you, but not everyone can tell the difference between them, let alone know which is the best option.

A trust is an agreement that is created through something called private writing. A trustee is nominated to control and look after the assets that have been placed into the trust, for the sole benefit of the trustees. For example, immovable property such as houses can be held in a trust, as an artwork or heirlooms. These items would be legally held by a third-party, usually, a firm or company but remain the property of the beneficiary that is nominated in the trust.

A foundation is an organisation that can be considered a fully autonomous legal entity which belongs only to itself. It is similar in some ways to a company but it has several characteristics of a trust. A foundation in Malta enjoys a separate legal personality from the moment the foundation is registered with the Registrar for Legal Persons and both a foundation and a trust cannot exist for longer than 100 years.

When it comes to trusts, they are established by someone called the settlor who rescinds their ownership of the property and legally allocates it to the trustee. Once this is done, they effectively relinquish any rights over the ownership or the management of the trust property. This person is expected to submit a list of conditions that apply to the trust property and the trustee keeps these in mind when they exercise their rights further down the line.

A foundation is created by a founder who must draw up a public deed with a notary. Unlike a trust, the founder is able to retain part of the control in the administration of a foundation and the decisions that need to be taken. The founder also has the right to oversee the acts of the appointed administrators and they can even be an administrator themselves.

When a trust is created, the trustee has the property in the trust in their name and looks after it for the beneficiary until the time comes when the property is ready to be passed on. The trustee must answer to the beneficiaries for every action that they take and a high level of care must be given when it comes to carrying out duties. A foundation is governed by administrators who administer in the best interest of the purpose for which the foundation was created.

In Malta, both trustees and foundation administrators are bound by fiduciary obligations which include confidence, trust, care, and acting for the benefit of another. At no time should the administrator or the trustee allow a conflict of interest or activity in a way that is not in the best interest of the beneficiary.

In addition to this, the trustee must keep the assets of the trust completely separate from their own personal assets. This is to avoid any issues should the trustee become insolvent as well as mitigating the risk of assets being used for purposes other than they were intended. This also means that the trust assets are protected from the claims of creditors that may be targeting the settlor or the beneficiary of the trust- in other words, the assets in the trust are protected until the time that they are released. When it comes to a foundation, as it has a distinct legal personality it acts similar to a limited liability company- in other words, the creditors of the foundation have no claim on any of the assets of the administrators.

One of the biggest differences between a trust and a foundation is that a trust is not registered on any register or with any authority, instead, it is kept with the trustee. A foundation, on the other hand, must be registered and overseen by a notary or lawyer. Both trusts and foundations are considered to have very high levels of confidentiality.

When it comes to deciding what is the best vehicle for an individual’s purpose, it really depends on what your needs are and what you want to achieve. Malta is rare in that you can choose between either option and both offer infinite possibilities and benefits. To find out more, please contact us at [email protected].

 

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MFSA published the ‘Guidance note to the Financial Instrument Test.’

Categories Blockchain, Cryptocurrency, ICOs, Malta, E&S Group, Cryptocurrency Exchange, Tokens, Financial Instrument Test

MFSA published the ‘Guidance note to the Financial Instrument Test.’

 

On Tuesday 24th July, Malta Financial Services Authority (MFSA), published the ‘Guidance note to the Financial Instrument Test’. This report discusses, what the Financial Instrument test entails, with step by step procedures as established by the authority. The Virtual Financial Assets (VFA) Agents need to follow these set of rules to identify which category the ICO in question fall under. The three categories as identified by the VFAA Act are 1) Virtual Tokens, 2) Virtual Financial Assets or 3) Financial Instrument. These rules can be accessed on the authority website which is drafted on an Excel sheet and PDF format.

These issues were further discussed in a conference MFSA organised in the wake of these regulations. The conference was held on Wednesday 25th July, discussing the Financial Instrument Test published by the authority. A lawyer specialising in ICOs from E&S Group attended the conference, to understand what is required by VFA Agents. The conference spoke about various ways on what is expected by the VFA Agent to adhere to when conducting these tests. When the tests are concluded the authority has to have a copy of the results established by the agent.

If you require further information regarding these regulations contact us by sending an email on [email protected] or by phone on +356 2010 3020. We make things happen!

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Paris welcomed a Fintech conference organised by Smile expo in the wake of new decentralised technologies

Categories Blockchain, Cryptocurrency, ICOs, Malta, E&S Group, Technology, Tokenomics, Tokens, Wallet

Paris welcomed a Fintech conference organised by Smile expo in the wake of new decentralised technologies

 

A few days after France welcomed their World Cup heroes flooding the streets of Paris with loud cheers and enthusiasm, Smile expo organised their ‘Blockchain & Bitcoin Conference’ in Paris. The event was held on the 18th July discussing various topics in relation to Fintech, blockchain and crypto sector. One of E&S Group representatives attended the conference which welcomed many foreign entrepreneurs from the blockchain industry.

The Smile expo is a Russian company which organises events in different cities around the world. Most of these conferences are B2B events combing exhibitions and conferences with regards to Fintech, Blockchain and Bitcoin titled events. The last event that Smile expo organised was the Blockchain and Bitcoin conference which took place in Paris, France. During the event, many key speakers participated in discussions and speeches at the conference. The discussions which were brought up were about new fintech technologies in the market, what is the French position regarding blockchain and crypto-assets and ICOs, GDPR and Blockchain and if they can work hand in hand, and Blockchain and the enterprises, to name a few.

If you would like legal assistance in building up your ICO venture, contact E&S Group today. Our legal and accounts team will assist and advise you from concept stage through your actual offering. Send us an email on [email protected] or by telephone on +356 2010 3020. We make things happen!

 

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Malta – at the centre of the Distributed Ledger Technology

Categories Blockchain, Cryptocurrency, ICOs, Malta, Law, DLT Regulation, Smart Contracts, E&S Group, Technology, Cryptocurrency Exchange, Tokens, VFA Act

Malta – at the centre of the Distributed Ledger Technology

In the light of the new blockchain laws presented by the government of Malta, many fintech organisations praised the government’s progressive approach to these set regulations. The Malta Chamber of Commerce, Enterprises and Industry organised an interesting and detailed conference titled; ‘Blockchain: The New Regulatory Framework.’ E&S Group employees attended this conference to understand more about the three laws soon to be in force.

The Parliamentary Secretary for Financial Services, Digital Economy and Innovation, Hon. Silvio Schembri opened up the panel. He spoke about how Malta is becoming a Blockchain Island soon implementing laws that will ensure a safe crypto market on the island. Various influential people coming from various financial sectors spoke about the importance of blockchain technology. The discussion revolved around how the laws will help Malta in the sphere and being a trailblazer in the industry.

Many stakeholders coming from various industries in particular finance, legal, and IT attended the conference. Many interesting points came up during the discussions which brought about how private institutions are reacting to Malta’s DLT shift. In fact, some Maltese banks are welcoming ICOs as their clients. A bank, in particular, AgriBank has started to open up bank accounts to ICO clients. However, they have not started to accept cryptocurrency trading as it is still a bit of a grey area. Strict due diligence procedures also need to be followed by MLRO, making sure that all necessary AML procedures are in place. In addition, an MFSA representative spoke about the Financial Instrument test, VFA agents need to adhere to, presenting their final findings to the authority.

Since the industry is still in its initial stages, AML procedures need to be processed. In fact, the FIAU will have an important role to safeguard Malta’s reputation, seizing fraudulent companies from operating in Malta.

 

Are you looking for the best country to operate your ICO? Is Malta on your list and wish to know more what it offers? Check out the link here or send us an email on [email protected] or by calling us on +356 2010 3020. We make things happen!

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E&S Group participated in a conference organised by Malta Institute of Management.

Categories Blockchain, Cryptocurrency, ICOs, Malta, The Blockchain Island, Smart Contracts, E&S Group, Technology, Cryptocurrency Exchange, Tokenomics, Regulation, Tokens

E&S Group participated in a conference organised by Malta Institute of Management

On the 26th of June, the Malta Institute of Management (MIM), organised a day conference titled; “The MIM Cryptocurrency Considerations for Management Conference”. The conference invited Maltese stakeholders that have a keen interest and are contributing to the blockchain sphere. The main topics discussed focused on cryptocurrencies in relation to businesses, how to avoid fraudsters stealing your cryptos, why tokens need to be regulated, and the Malta Stock Exchange outlook towards ICOs.

During the event, a discussion was organised inviting influential stakeholders from the crypto and blockchain sphere in Malta. Tokenomics expert and E&S Group director, Karl Schranz took part in a panel discussion titled: “Cryptocurrencies and Blockchain”. They discussed if cryptocurrencies and blockchain should be regarded as one or two separate entities.

The topics which came out from this discussion were notably about the new laws that Malta will pass in the coming weeks, cementing its way to become “The Blockchain Island”.

If you require further information regarding Malta’s laws in DLT, ICOs and Blockchain technology, contact us by sending us an email on [email protected] or by telephone on +356 2010 3020

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CryptoSouk has launched its Pre-Token Sale – Your Gateway to the Crypto World.

Categories Blockchain, Cryptocurrency, ICOs, Malta, The Blockchain Island, E&S Group, Technology, Trading, Cryptocurrency Exchange, New ICO - Crypto Souk

CryptoSouk has launched its Pre-Token Sale – Your Gateway to the Crypto World.

E&S GROUP IS PLEASED TO ANNOUNCE THAT ITS CLIENT CRYPTOSOUK HAS LAUNCHED ITS PRE-TOKEN SALE.

 

CryptoSouk is dedicated to making digital currency trading accessible, fast and totally secure. Their CryptoSouk platform aims to make digital currency trading accessible to everyone and for traders of every skill level. CryptoSouk will execute quick trading, fair pricing, world-class customer service, endless improvement and limitless creativity. CryptoSouk are in their initial stages to provide their token sale to their clients, launching their token called, Souk.

E&S Group is pleased to be advising and supporting this innovative project, assisting traders to collect their digital assets through the CryptoSouk platform. To learn more about CryptoSouk, please visit their website: https://cryptosouk.io/en/ico

 

Planning an ICO or simply want more information on ICOs, Blockchain or Crypto? Click here to read more about ICOs or contact us on [email protected].

 

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Dr Christian Ellul interviewed by Lawyers Monthly Magazine

Categories Economy, Blockchain, Cryptocurrency, Malta, The Blockchain Island, E&S Group, Technology, Interview

Dr Christian Ellul interviewed by Lawyers Monthly Magazine

The August edition of “Lawyers Monthly” magazine features an interview with E&S Group director, Dr Christian Ellul. During the interview, various topics were discussed most of which centered around the blockchain, cryptocurrencies, taxation and regulations passed by the European Parliament and Malta.

Although many regulations are being passed in different countries around the world, most particularly, Malta, not every aspect of the industry is being directly regulated. In fact, cryptocurrencies do not have “specific tax laws, regulations or guidelines”, hence “the general principles of taxation would need to be applied” stated Dr Christian Ellul.

He stated that “the current volatility of cryptocurrencies makes them impractical substitutes for the more stable FIAT currencies.”

However, “the moment people will lose faith in a FIAT currency, usually due to the questionable actions of central banks, they can fall back onto these decentralised currencies, which by their very nature, cannot be controlled or influenced by a central authority.”

If you would like to continue reading the interview please click here.

For further information regarding the services offered by E&S Group, please visit this page. Contact us directly on +356 20103020 or by email at [email protected] to find out more.

 

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Why should you register your yacht in Malta?

Categories Malta, Shipping, E&S Group

Why should you register your yacht in Malta?

When most of us think of yacht ownership, we think about drifting through turquoise waters, stopping at secluded bays for a swim, or dropping in at a picturesque little fishing village for a candlelit dinner. Whilst, of course, all of these things are possible, there are some serious matters to consider as well.

Owning a yacht bears a lot of responsibilities and requires careful management and intelligent decision making. From insurance to berthing, crew to chartering- all require careful consideration. But it is where to register your yacht that requires the most careful consideration. As the owner of a yacht, choosing the most accessible and beneficial, yet reputable jurisdiction is the most important decision you will have to make.

Here are reasons why you should choose Malta.

  1. Malta is now the largest EU ship registry and it abides by all of the relevant and required EU directives. It has also ratified International Conventions issued by the International Maritime Organisation, the International Labour Organisation, and the United Nations.
  2. Flying the Maltese flag on your vessel means that you will be welcomed at any port in the world. Malta is listed on the While List of the Paris MoU and the Tokyo MoU meaning it is of utmost reputational standard internationally.
  3. Malta has a long history in the maritime sector and the island is equipped with extensive facilities, as well as skilled and hardworking maritime labour force. It is also strategically located for a range of activities and its short, mild winters make it a great place to keep a vessel out of season.
  4. Malta offers attractive incentives to yacht owners and operators which include a range of fiscal and VAT benefits, whilst being completely in line with EU regulations.
  5. Malta also offers low costs for company formation, vessel registration, and tonnage.
  6. There is absolutely no restriction on the sale or mortgaging of a Maltese registered yacht or superyacht.
  7. There are also no restrictions on the nationality of the vessels owner, or the ownership of the company that owns the vessel. They can be EU nationals or not- it doesn’t matter. There are also no restrictions to the nationalities of those that man the vessels such as the Captain, or any of the crew.
  8. When it comes to pleasure yachts, Malta offers a competitive leasing scheme including, in some cases, total tax exemptions and significantly reduced rates of VAT even if the yacht is used for commercial practices.

To find out more about how to register your yacht or vessel on the Maltese registry, or for any other yacht related enquires, please contact us on [email protected] or call us on +356 2010 3020

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E&S Group – The First Firm to tokenise its services

Categories Blockchain, Malta, Smart Contracts, E&S Group, Technology, Tokens, Utility Tokens

E&S Group – The First Firm to tokenise its services

Malta’s leading multi-disciplinary firm situated in a picturesque village in St Julian’s has tokenised its services. E&S Group is the first-ever corporate and legal advisory firm to accept tokens instead of fiat currencies for its services.

As a Maltese firm, E&S Group has been involved in cryptocurrency hence offering Legal guidance to upcoming ICOs through its tailor-made ICO Legal Service. So far, the tokenised firm has advised over 70 ICOs from concept stage up to their actual offering.

How does it work?

Early this year, E&S Group has launched its token – ESTS. By means of Proof-of-Work, ESTS works on the Ethereum blockchain platform. In doing so, clients will pay for their services by acquiring the ESTS tokens through the platform.

Why E&S Group?

Since Malta has now become the first country to pass three progressive laws regulating cryptocurrencies, many blockchain based companies have made the move to operate on the island. E&S Group has already assisted a number of ICOs willing to open up their projects on the island.

Dr Christian Ellul, E&S Group director stated that: “Here at E&S Group, we have been involved in the blockchain and crypto world for over a year now. We are happy to learn that the Maltese authorities are supporting this by setting up the Malta Digital Innovation Authority. The intention is to present Malta as a hub to promote this technology which is very feasible, especially with the introduction of the required legislation to smooth the way forward.”  

At E&S Group, no ICO will be left disappointed. The legal team have a keen understanding of the ICO and Cryptocurrency industry, helping you to set up your ICO and perform successfully. Some of the key ICO services provided are: analysing of white paper in accordance with the Maltese Law, assisting with the design of tokens and drafting the token offer agreement.

Visit this link to know more about our ICO Legal services. E&S Group will help you make things happen!

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LifeTask token offer is now live!

Categories Blockchain, ICOs, The Blockchain Island, E&S Group, Technology, Tokens, New ICO - LifeTask, Utility Tokens, Startups

LifeTask token offer is now live!

E&S Group is pleased to announce that LifeTask token offer went live!

Today, LifeTask launched its token offer. The aim of this initiative is to become the first decentralised competence platform for a talent-driven job market.

By means of AI (Artificial Intelligence), LifeTask created a P2P platform to help employers to find their suitable candidate and employees to find their perfect job.

E&S Group is pleased to be advising LifeTask, aiding to make their project a reality!

If you would like to acquire LifeTask tokens please visit their website on https://www.lifetask.io

If you wish to start off your ICO and don’t know from where to start, contact E&S Group on +356 2010 3020 or by sending an email on [email protected]. You can also visit this link to know more about our services. E&S Group will make things happen!

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