Regulatory Framework
TheAngel is built on a foundation of regulatory alignment, investor protection, and institutional-grade security architecture.
This section explains how the platform ensures compliance across multiple jurisdictions, protects investor and founder assets, and maintains a secure environment for tokenised fundraising.
Compliance and security are not optional — they are core to TheAngel’s value proposition.
Overview
TheAngel integrates three layers of protection:
1. Regulatory Compliance
2. Asset Protection & Legal Structuring
3. Platform & Smart Contract Security
Together, these layers create one of the safest environments for early-stage fundraising and investing.
Regulatory Framework (Global Overview)
TheAngel operates across multiple jurisdictions and adheres to the applicable regulatory frameworks for fundraising, investor onboarding, token issuance, and secondary trading.
1. European Union (Luxembourg)
Through Filedgr’s securitisation model:
TheAngel uses Luxembourg Securitisation Funds, one of the most respected financial structures globally.
These funds operate under Luxembourg’s Securitisation Law (2004, updated 2022).
Each startup receives a dedicated compartment, legally protected and bankruptcy-remote.
Investment notes issued receive a unique ISIN, enabling transferability and standardisation.
Properly configured compartments qualify for AIFMD exemptions.
Source: Filedgr documentation
2. United Arab Emirates (DMCC, VARA, ADGM)
As a UAE-based operator, TheAngel complies with:
DMCC licensing for marketplace operations
VARA guidance for virtual asset activity (where applicable)
ADGM FSRA standards for investment-related activities
AML, CFT, and KYC obligations under UAE law
This ensures the platform operates with regional approval and oversight.
3. United States (Reg D / Accredited Investors)
Where US investors participate, TheAngel supports:
Regulation D (Rule 506(c)) for accredited investors
Investor self-attestation + documentation procedures
Prohibition on general solicitation for specific offerings
Additional tiered verification for larger investments
Tokens issued do not constitute public securities and follow private placement rules.
4. Global AML/KYC Compliance
All investors and founders undergo mandatory due-diligence screening through regulated providers.
Checks include:
Identity verification
Address verification
PEP (Politically Exposed Person) checks
Sanctions lists
Fraud detection
Source-of-funds requirements (as needed)
This protects the platform, founders, and investors from illicit activity.
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