In this blogpost we will share some information about Blockpit’s TAX Token, what the technology behind it is and how it is legally treated in Austria.
The TAX token was issued in 2019 by Blockpit GmbH as part of a private Security Token Offering (STO) in order to finance the company.
Amount of issued tokens: 20.000.000. TAX
Type: Security Token (digital security)
Rights: participate in the company’s profits
Term of validity: unlimited
Further tokens cannot be created, meaning that a dilution of the tokens is not possible.
At the end of the year, a dividend based on the company’s profit of the previous year is calculated and distributed to the token holders. The dividend is issued in the form of Ether (ETH) according to the current daily rate and sent to the wallet on which the tokens are currently held on.
What is the technological background of the TAX Token?
The TAX token is based on the ERC20 token-standard of the Ethereum blockchain und offers added components of functionality, in order to fit regulatory guidelines.
The most important adaptation is the mandatory whitelisting of wallets for the transfer of TAX tokens. Therefore, it is not possible to send TAX tokens to an ethereum-wallet which has not been verified as part of a KYC/KYB process.
Aside from that, the transfer of TAX tokens is frozen each year on September 30th for 24 hours straight in order to safeguard the annual dividend distribution.
More information on the legal treatment of the TAX token is exclusively available in German due to the different legal situations of cryptocurrency in every single country. You can visit the German version of this blogpost to get information on the treatment of the TAX token in Austria.
Disclaimer: The information provided in this blog post is for general information purposes only. The information was completed to the best of our knowledge and does not claim either correctness or accuracy. For detailed information on crypto regulations we recommend contacting a certified legal advisor in the respective country. If any questions occur, feel free to contact us in our social media channels.