August 21, 2017 @ 8:00 am By Jor Law  |  

So you were ready to do an initial coin offering (ICO), and then the Securities Exchange Commission released an investigative report concluding that DAO tokens were securities.  Seasoned securities attorneys have always known that token sales could implicate securities laws if the tokens were treated… Read More

August 20, 2017 @ 1:03 pm By JD Alois  |  

Regulation D, or Reg D as everyone calls it, is probably the most powerful capital raising exemption in the US. Just about every single successful early stage company has leveraged Reg D in its various iterations. In 2013, the SEC enacted final rules for Title… Read More

August 18, 2017 @ 9:49 am By JD Alois  |  

Earlier this month the Office of Comptroller of the Currency (OCC) fired off a counter salvo in the legal battle regarding the OCC Fintech Charter. The Conference of State Bank Supervisors (CSBS) launched an attack against the OCC this past spring. Many Fintech industry participants… Read More

August 18, 2017 @ 8:55 am By Samantha Hurst  |  

DreamHost, an online service provider for web hosting and cloud computing services to more than 400,000 customers worldwide, has recently launched crowdfunding efforts on CrowdJustice to fight a subpoena warrant from the Department of Justice that are requesting information for a customer’s website, disruptj30.org (aka ResistThis) which is notably… Read More

August 16, 2017 @ 3:33 pm By JD Alois  |  

Some times the wheels of justice move slowly. And sometimes the documentation associated with these wheels lag as well. File this one under recently discovered. The Securities and Exchange Commission released, this past June, the Agreed Final Judgement regarding the case of the Ascenergy crowdfunding… Read More

August 16, 2017 @ 10:32 am By JD Alois  |  

Last month, the European Commission, Financial Stability, Financial Services and Capital Markets division, launched a consultation on non-performing loans being held by banks. The Commission is seeking feedback on the development of secondary markets for distressed debt. Policymakers view this as essential in tackling the… Read More

August 15, 2017 @ 11:31 am By Ryan Feit  |  

Some equity crowdfunding platforms are putting startups at serious risk.  Working with a platform that doesn’t structure your deal appropriately could jeopardize your ability to raise future capital or worse, force you to become a public reporting company. The emergence of equity crowdfunding is a… Read More

August 14, 2017 @ 1:14 pm By JD Alois  |  

The regulatory environment continues to evolve for investment crowdfunding. While many people may have heard of the various federal exemptions that allow non-public companies to sell securities online (Reg D 506c, Reg A+ and Reg CF) most people are probably unaware of the fact that… Read More

August 10, 2017 @ 11:03 am By JD Alois  |  

  The Central Bank of Bahrain (CBB) has released regulations for debt based crowdfunding. Rules apply to both Shari’a compliant and conventional investments. It is expected that equity-based crowdfunding regulations will be announced later this month. The CBB announced that for the first time it will… Read More

August 10, 2017 @ 9:08 am By JD Alois  |  

The Monetary Authority of Singapor (MAS), along with the Commercial Affairs Department (CAD) have published a warning to consumers regarding Initial Coin Offerings (ICOs) or Token Offers and other investment schemes involving digital coins. The ICO market and affiliated Token Offerings has risen rapidly catching… Read More

August 8, 2017 @ 11:07 pm By JD Alois  |  

The People’s Bank of China (PBOC) is expected to strengthen the regulation of internet finance firms including peer to peer lenders and payment platforms. The report by China News references a statement by the PBOC that labels some financial products offered by Fintech firms as… Read More

August 8, 2017 @ 5:35 pm By JD Alois  |  

The Securities and Exchange Commission (SEC), Division of Economic Risk Analysis (DERA), has just published a report addressing the issue of access to capital as well as market liquidity. DERA, the research arm of the SEC, was enlisted by Congress to report on the impact… Read More

August 8, 2017 @ 3:28 pm By JD Alois  |  

  Lithuania is the latest country joining the Fintech revolution by recognizing the importance of fostering a regulatory environment that is conducive to change and challenges established norms. The Bank of Lithuania is out with a statement regarding the launch of a sponsored Fintech Sandbox…. Read More

August 6, 2017 @ 6:51 pm By JD Alois  |  

The Commissão de Valores Mobiláros (CVM) in Brazil has published their regulatory regime to legalize investment crowdfunding. The document outlining the rules is embedded below (in Portuguese). The Investment crowdfunding regulation (Regulation 588) creates a new exemption for issuers of securities to raise funding online…. Read More

August 5, 2017 @ 7:50 pm By JD Alois  |  

  The digitization of finance is upon us. Fintech is rapidly changing all aspects of the financial services sector but different countries are adapting at different paces – regulation is largely why. Jackson Mueller, writing for the Milken Institute, hosted several roundtables earlier this year… Read More

August 4, 2017 @ 6:09 pm By Amy Wan  |  

  On Tuesday, July 25, the SEC announced that Initial Coin Offerings, also called Token Sales, in many cases may be considered securities. Of course, this probably terrifies a large amount of the ICO community. So how do you actually legally raise an ICO? Your… Read More

August 4, 2017 @ 8:17 am By JD Alois  |  

The UK government has proposed a  new “National Investment Fund” launched to help innovative UK start-ups become “world-leading unicorns”.  According to HM Treasury, the Fund will ostensibly fill a £4 billion funding gap between US and UK firms and boost investment into entrepreneurial firms. HM… Read More

August 3, 2017 @ 3:45 pm By Valentina Ausserladscheider  |  

At the end of June, the Cambridge Centre for Alternative Finance (CCAF) hosted its second annual conference that saw participants from the world of finance from all over the world. The conference was entitled Navigating the Contours of Alternative Finance and sought to provide a… Read More

August 3, 2017 @ 10:51 am By Erin Hobey  |  

Abu Dhabi Global Market (ADGM), the International Financial Centre in Abu Dhabi and the Capital Markets Authority (CMA) Kenya signed a Cooperation Agreement which provides a framework for cooperation to support financial innovation in each jurisdiction. The Agreement was signed by Paul Muthaura, Chief Executive,… Read More

August 3, 2017 @ 9:56 am By JD Alois  |  

In the financial services sector clear and transparent regulation is vital to a healthy marketplace. There is no financial services firm that will take issue with this statement. Yet regulation that balances on the tightrope of an efficient market and investor protection is quite hard…. Read More