Ivan Zakharko

Luxembourg-based lawyer specializing in international corporate structures, securitization, and technology regulation

[Ivan Zakharko @ivan_zakharko]

Just got a client with this kind of situation. Wondering how you would handle this.

Imagine your first EU customer is a bank or a different regulated entity. They want you to sign a data processing agreement before starting anything.

You have never signed one. Your US counsel says it is not their area.

So what do you do? Figure it out internally, find local counsel, push back on the customer or what?

[Ivan Zakharko @ivan_zakharko]

5/
The Act has a phased timeline. Prohibited practices provisions apply from February 2025. High-risk obligations apply from August 2026. GPAI rules from August 2025.

If you are building AI and you want EU revenue – follow to learn more.

[Ivan Zakharko @ivan_zakharko]

1/
The EU AI Act does not apply to all AI equally. It uses a risk-tier system, and where your product lands determines everything from compliance cost to timeline and liability.

Most US founders assume they are in the low-risk bucket, but not all of them are 100% right.

[Ivan Zakharko @ivan_zakharko]

4/
General-purpose AI models have a separate track. If your model exceeds 10^25 FLOPs in training compute, you are in the systemic-risk category with additional obligations.

Most Series A products are not there yet, but your roadmap might put you there sooner than you think.

[Ivan Zakharko @ivan_zakharko]

@HarryStebbings Inspiring picture! Happy birthday!!

[Ivan Zakharko @ivan_zakharko]

https://t.co/LKPoKKU9xP

[Ivan Zakharko @ivan_zakharko]

The EU is overregulated. No doubts.

It is also 447M people with purchasing power equal to the US.

That gap between market size and competition is one of the best opportunities I have seen for a startup.

The compliance burden is there, I know. But it is also the filter that keeps your competitors out.

And it is exactly what I help with.

[Ivan Zakharko @ivan_zakharko]

@hthieblot Well said, Hubert! Could you share No 1 numeric (or at least objectively verifiable) sign that the project will live, that is better than a closed round?

[Ivan Zakharko @ivan_zakharko]

@signulll EU regulation is a wall. I am the door.

[Ivan Zakharko @ivan_zakharko]

@DanielSmidstrup Man, I am following your advice and looking forward to seeing it works 👍

[Ivan Zakharko @ivan_zakharko]

@kunalb11 it was supposed to replace employees. but now we have even more busy people – everyone is a founder now

[Ivan Zakharko @ivan_zakharko]

@tanujDE3180 I would humbly recommend Luxembourg – it is like Germany, but fast-moving and startup-friendly

[Ivan Zakharko @ivan_zakharko]

@uxsweta https://t.co/OuzXGjxw23

[Ivan Zakharko @ivan_zakharko]

@benln great company. Mine is a huge fan of keyboard clicking sound, too

[Ivan Zakharko @ivan_zakharko]

@DavidMKeyes God forbid from wording you my pitch with one startup

[Ivan Zakharko @ivan_zakharko]

@rpnickson that is pure gold. I might want to contact you with my marketing team to brainstorm smth for me as well

[Ivan Zakharko @ivan_zakharko]

4/4
I am building legal and compliance infrastructure for this exact scenario. For AI, fintech and IT companies that want EU revenue without a half year detour through regulatory uncertainty.

[Ivan Zakharko @ivan_zakharko]

1/4
Everyone says the EU is overregulated. And it is true.

I mean, Eu AI Act, GDPR, PSD3, AMLD, and many many more. And the fines are very much a thing. The AI Act alone can reach 7% of global turnover for certain violations.

That is exactly why the market is open.

[Ivan Zakharko @ivan_zakharko]

3/4
Funnily enough, but the compliance wall that feels impossible from SF is the same wall keeping most of your competitors out.

Series A or B company with a solid product can clear it for sure. Most founders will likely not try. So that gap is actually the opportunity.