A SAFT transaction contemplates an initial sale of a SAFT by developers to accredited investors. ?

[Ankarrr]

In abstract of whitepaper:

The SAFT is an investment contract. A SAFT transaction contemplates an initial sale of a SAFT by developers to accredited investors. The SAFT obligates investors to immediately fund the developers. In exchange, the developers use the funds to develop genuinely functional network, with genuinely functional utility tokens, and then deliver those tokens to the investors once functional. The investors may then resell the tokens to the public, presumably for a profit, and so may the developers.

My question is:

What is a SAFT transaction?
What does "A SAFT transaction contemplates an initial sale of a SAFT by developers to accredited investors." mean?

[eriksyvertsen]

Idea is that (i) the SAFT is sold in a private placement only accredited investors in reliance on an exemption from registration requirements under relevant securities laws and (ii) the token will be delivered when/if permissible under applicable securities laws.

IALBNLA (I Am a Lawyer But this is Not Legal Advice) :-)

[Ankarrr]

Who are accredited investors?
"an exemption from registration requirements under relevant securities laws" this sounds complicated..how can we get the exemption?

[DerekChia]

I believe the definition can be found in the SEC guideline.

An accredited investor, in the context of a natural person,
includes anyone who:

• earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior two years, and reasonably expects the same for the current year, OR
• has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person’s primary residence).

What does it mean to be an accredited investor?

[zeryx]

From my understanding; this is also available to "arms length" investors, such as Advisors; friends and Family, and contractors, right?