Tokenization legal in Poland? President signs the first bill
This post is also available in: Polish
Last Friday, President of Poland Andrzej Duda signed a new bill, introducing a new project called Simple Joint Stock Company (Prosta Spółka Akcyjna, or PSA, for short) to Poland. With PSA, young entrepreneurs and start-ups will have to jump through fewer hurdles to gather the necessary money.
“For young entrepreneurs”
Also attending the PSA bill signing was the Minister of Entrepreneurship and Technology, Jadwiga Emilewicz, who emphasized how simple the project is for newcomers. Without long queues, with online registrations in 24h, without the need for a starting capital (save for 1 PLN), new partnerships can start working immediately, and if any problems arise – the liquidity process was also simplified.
As mentioned by the President:
“It’s for young entrepreneurs for whom this new form of Simple Share Partnership was created – something which wasn’t available in Poland before.”
Advantages of the Simple Joint Stock Company project
As published on the site of the Minister of Entrepreneurship and Technology:
“Basic advantages of the new company project are:
- fast online registration (24h when using the form, with a possibility of registering using the “traditional” method),
- easier disposal of company funds – lack of “frozen” share capital, but with the simultaneous obligation to take care of the company’s solvency and other measures that ensure protection of the company’s creditors,
- no status of a public company and related restrictive obligations – PSA shares will not be listed on the stock exchange,
- a simplified online register of shareholders, run by, for example, an investment firm or a notary – we allow the use of blockchain to keep this register open to the latest technologies,
- extensive use of online communication in making resolutions, holding shareholders’ meetings.
- lack of complex organizational requirements – one-person board is enough, there is no obligation to create a supervisory board.
The liquidation of the PSA will also be simplified – the time needed to carry out the liquidation has been shortened in relation to other companies, and in addition it will be possible to dissolve the company without liquidation – by taking over its assets and liabilities by the shareholder.”
Blockchain in Poland!
People interested in new technology took special notice of the fourth point:
“we allow the use of blockchain to keep this register open to the latest technologies”
It’s a clear signal that Poland is ready for decentralized solutions. While currently only online registries are mentioned as using blockchain, industry professionals speculate that this might be the first step towards the tokenization of company shares. As mentioned by Prawo Kryptowalut portal:
“The wording of the provision clearly indicates the possibility of using blockchain technology in this field, which in practice may mean the admissibility of tokenization of shares.”
-Aleksandra Kopeć, Lawyer in the Capital Market Law Department
Polish company treads new ground
It’s worth mentioning that before the bill was even signed, Poland already had a first-of-its-kind company that was dealing with blockchain technology – Trycod.net – which not only offered solutions based on blockchain, but also help with tokenization of interested companies, preparing for ICO/STO, from webdesign, through whitepaper, and on marketing and customer support ending.
“Our software house has been dealing with tokenization of entities and companies that have had to register their activities outside of Poland for about 2 years. The PSA Act will open up huge potential, opportunities to raise capital on the Polish market, but also attract investors from outside the European Union from regions such as the USA or Asia.”
-Łukasz Kiszuk, CEO of Trycod.net
As you can see, the future of startups and blockchain in Poland seems rather bright. Now we just have to wait for young entrepreneurs willing to try the new Act, and cross our fingers for more government support. Please tell us what you think about this and if you plan on trying the new Simple Joint Stock Company Act yourself!