Charter Foundation launched to cut token launch costs by over half
Charter Foundation launched to lower token launch costs
Ink Foundation, crypto market maker GSR and a group of law and audit firms announced the creation of Charter Foundation. The new entity offers a shared legal framework that lets crypto projects launch tokens at a lower cost.
Key points
- Charter can reduce upfront token‑launch expenses by more than 50%.
- It creates a dedicated Cayman Islands exempted company for each project.
- Traditional launches often need three separate entities and can cost over $100,000 before a token generation event.
- Partners include GSR, law firms Carey Olsen, Renno & Co, Cooley, Fenwick and audit firms ChainSecurity and Zellic.
How the framework works
Instead of building a three‑entity structure from scratch—a labs company, a Cayman Islands foundation and a British Virgin Islands issuance subsidiary—Charter sets up a single Cayman Islands exempted company for each token launch. While the project is under Charter, the company is governed by Charter’s board. After a successful launch, the Cayman entity converts into an independent foundation and separates from Charter.
Who is behind Charter
The framework was developed by the team behind Ink Foundation, the creator of the Ink Ethereum Layer 2 network. Ink was released by Kraken, but Charter is not linked to Kraken, Ink Foundation spokesperson said. The board includes Glenn Kennedy, managing director of Leeward Management, and Petri Basson, founder of Hash Directors and former head of KPMG Cayman’s digital‑asset team.
Why it matters now
Token launches and token‑linked venture deals have been declining, with many investors preferring equity structures. Charter’s lower‑cost, standardized approach aims to make token launches more attractive as the market cycles back to higher activity.
