Charter Foundation Launches to Simplify Token Launch Costs
A group of crypto firms has launched Charter Foundation to help reduce the cost of launching tokens. The launch comes after token launches and token-linked venture deals have declined, with many crypto investors shifting toward equity structures.
John Wu, counsel at Ink Foundation and Charter Foundation's principal architect, said that the timing is meant to prepare for the next cycle, citing that quieter markets give teams the space to build durable infrastructure ready when activity returns.
Charter Foundation was developed by the team behind Ink Foundation, the developer of the Ink Ethereum Layer 2 network. The group has developed a shared legal framework meant to make token launch structures cheaper and easier to set up.
The three-entity launch structure is typically required for projects, including a labs company, a Cayman Islands foundation, and a British Virgin Islands issuance subsidiary. Each project usually has to build that structure from scratch, costing more than $100,000 before a token generation event.