Cooley advised Finova Financial on the creation of a fundraising process known as a JOBS crypto offering or JCO.
The offering, when completed, will give investors the opportunity to invest in equity ownership of previously privately held companies using cryptocurrency.
According to Finova, JCOs are designed as a hybrid of initial coin offering investments, which allow companies to raise capital more readily through cryptocurrency investments, and a traditional IPO. In a JCO, tokens representing ownership of shares of capital stock would be tracked on a distributed ledger, or blockchain, and would be sold pursuant to a registration statement filed under the Securities Act or, for a transaction exempt from registration under the Securities Act, pursuant to Rule 251 under the Securities Act.
JCOs are the brainchild of fintech entrepreneur Gregory Keough, current CEO of Finova and former CEO of Mobile Financial Services, a MasterCard and Telefonica joint venture for mobile financial services.
Cooley advised with a team including Matthew Bartus (Picture), Nancy Wojtas, Derek O. Colla and Karen Ubell.
Law Firms: Cooley LLP;
Clients: Finova Financial LLC;