Common use of Security Tokens Clause in Contracts

Security Tokens. 121. Security Tokens are complex financial instruments. Prospective investors should ensure that they have the expertise to understand how the product is structured (which may differ from case to case) and the applicable terms and conditions. In most cases, an investor will have no legal or beneficial interest in the asset represented by the Security Token; rather, the investor will have a contractual relationship with the issuer only and its rights and remedies with respect to the investment will be limited to contractual remedies against the issuer in accordance with the terms of the relevant Security Token.

Security Tokens. 121125. Security Tokens are complex financial instruments. Prospective investors should ensure that they have the expertise to understand how the product is structured (which may differ from case to case) and the applicable terms and conditions. In most cases, an investor will have no legal or beneficial interest in the asset represented by the Security Token; rather, the investor will have a contractual relationship with the issuer only and its rights and remedies with respect to the investment will be limited to contractual remedies against the issuer in accordance with the terms of the relevant Security Token.