The legal status of cryptocurrencies around the globe remains uncertain. Governments issue warnings with an aim to explain to its citizens the difference between actual currencies, which are issued and regulated by the state, and cryptocurrencies, which are not. Some jurisdictions have gone even further and already imposed restrictions on investments in cryptocurrencies. Some ban all activities involving cryptocurrencies, others impose indirect restrictions by barring financial institutions within their borders from facilitating transactions involving cryptocurrencies.

That is why the SwapZilla team has spent a significant amount of time and resources on analyzing the legal status of the SwapZilla business model and SWZL tokens in the jurisdictions where we are planning to operate. As a result of close cooperation with several leading law firms, we created a parent company in Hong Kong (English Common Law). Cryptocurrencies in Hong Kong have a status of “virtual goods” and, in some cases, could be identified as a financial security. We are also considering opening more sister companies in other jurisdictions.

SWZL tokens are designed specifically for the SwapZilla trading platform. SWZL tokens are not securities.

SWZL tokens are sold as a “digital product”, similar to downloadable software, digital music, etc. We recommend that users take a responsible approach when purchasing SWZL tokens. We do not recommend purchasing SWZL token to users who do not have any previous experience in crypto investment, or to the users who are not familiar with the principles of the blockchain technology.