Ogier has advised on the launch of Choon – a new music streaming service and digital payments ecosystem which uses blockchain technology to create a platform connecting musicians to their audiences without the need for intermediaries.
Ogier partner James Heinicke led the team including associate Cory Macculloch advising on the Cayman law aspects relating to Choon and its token offering.
Choon is the creation of British EDM DJ and producer Gareth Emery – it is an online platform that allows consumers to stream music and pays royalties to artists through smart contracts. The platform is powered by digital utility tokens and solves many issues historically prevalent in the music industry.
The Choon platform launched on 1 May and a public sale of tokens will commence in July.
The Ogier team advised on the formation of the token issuer, on terms and conditions for token purchases and compliance issues as well as general regulatory and structuring advice.
James said: "Choon is a perfect example of how blockchain technology and smart contracts can disrupt existing industries and it has been exciting to advise on such an innovative project.
"More and more we see that interest in blockchain is moving beyond cryptocurrencies, and shifting to how blockchain technologies can disrupt old, established ways of doing things and create new opportunities.
"We expect to see more of this work coming through Cayman – there are applications for blockchain technologies to disrupt not just music but also anything from banking, education, to property ownership – and Choon is the perfect case study for how that can happen."
Cory said: "Cayman has historically been a neutral jurisdiction of choice for many transactions involving international counterparties. This history has provided Cayman with valuable infrastructure and many tools that can be used by professionals who, like us, are passionate about being involved in projects that harness blockchain networks."
Gareth said: "After many months of work to make sure that we delivered a robust product, we are delighted to have launched Choon. Everyone involved believes in the potential of Choon to offer a better, simpler relationship between musicians and their audiences, and we are grateful to Ogier for their support."