Politics, Legal & Regulation

SEC Chair Jay Clayton Addresses ICOs in Speech Including Rebuke to ICO Advisors

The Securities and Exchange Commission (SEC) Chairman Jay Clayton delivered a speech today to the Securities Regulation Institute. While covering several topics, Chair Clayton hit upon the hot subject of initial coin offerings (ICO) and the swirling regulatory environment delivering a stern rebuke to market… Read More

State of New York Poised to Empower New York Department of Financial Services to Study Online Lending

There is legislation moving through the state of New York that shifts some responsibility regarding online lending to the New York Department of Financial Services (NYDFS). [S07294 and A8938] Originally, there was a bill that was signed into law on December 29, 2017, by Governor Andrew Cuomo, that… Read More

Here is the List of Global Regulator Statements on Initial Coin Offerings

The International Organization of Securities Commissions (IOSCO) issued a warning statement this past week regarding initial coin offerings (ICO). The IOSCO Board also shared it had established an ICO Consultation Network through which members may discuss their experiences and bring their concerns, including any cross-border… Read More

International Organization of Securities Commissions Issues Warning on Initial Coin Offerings

The International Organization of Securities Commissions (IOSCO) has published a warning on initial coin offerings (ICOs). The Board Communication should come as no surprise as dozens of national securities regulators have published warnings already as public officials struggle to grapple with the concept of digital… Read More

Here is the SEC Letter by Dalia Blass, Director Division of Investment Management, Expressing Concern about Cryptocurrency Related Holdings

Bot the Securities and Exchange Commission (SEC) and the Commodities Future Trading Commission (CFTC) have been dedicating additional resources towards cryptocurrencies, such as Bitcoin, and the hot initial coin offering market. Today, the CFTC released two reports regarding enforcement actions against crypto-related fraud.  Simultaneously, the… Read More

Securities Commission Malaysia Issues New Warning on Initial Coin Offerings

The Securities Commission Malaysia (SC), along with Bank Negara Malaysia (BNM), has issued a new “cautoinary statement” regarding investor interest in initial coin offerings (ICOs). This is not the first time SC has warned the public against dubious crypto offerings. Today’s statement affirms that ICOs… Read More

SEC and CFTC Issue Joint Statement on Cryptocurrency Enforcement Actions

Following the announcement by the Commodity Futures Trading Commission (CFTC) that it had undertaken two enforcement actions against Bitcoin / virtual currency related fraud, the Securities and Exchange Commission (SEC) and CFTC issued a joint statement from SEC co-enforcement Directors Stephanie Avakian and Steven Peikin… Read More

Happy Friday: CFTC Files Second Cryptocurrency Enforcement Action Against CabbageTech, DBA Coin Drop Markets

The CFTC Division of Enforcement Virtual Currency Task Force has been rather busy. Today, the Commodity Futures Trading Commission, has shared two enforcement actions filed against Bitcoin / Cryptocurrency related fraud cases. The first was against the Entrepreneurs Headquarters Limited, the second was filed against Defendants Patrick… Read More

US CFTC Files Enforcement Action Against UK Registered Company, the Entrepreneurs Headquarters Limited, Alleging Bitcoin Fraud

The Commodity Futures Trading Commission (CFTC) has filed a civil enforcement action in the U.S. District Court for the Eastern District of New York against Defendants Dillon Michael Dean of Longmont, Colorado. Dean’s company, The Entrepreneurs Headquarters Limited, is apparently registered in the UK. The documentation filed… Read More

Massachusetts Securities Division Takes Enforcement Action Against Caviar ICO, based in Cayman

The Massachusetts Secretary of the Commonwealth Securities Division has filed an administrative complaint against Kirill Bensonoff and Caviar, a Cayman Island company. Bensonoff is said to own a home in Brookline, Massachusetts and is described as attempting to avoid US securities laws by operating out… Read More

Changes at the Consumer Financial Protection Bureau: Acting Director Mulvaney Calls for Review

The passing of the baton from former Consumer Financial Protection Bureau (CFPB) Director Richard Cordray to acting Director Mick Mulvaney was rife with confusion and questions all driven by parochial politics. In a snub to the President’s prerogative of appointing a new Director, Cordray decided to… Read More

St. Louis Federal Reserve Bank on Cryptocurrency: The True Potential of Blockchain Technology will Become Apparent Only Many Years After it is Adopted

The Federal Reserve Bank of St. Louis is out with a paper on the “World of Cryptocurrencies.” Authored by  Aleksandr Berentsen and Fabian Schär, the article addresses possible applications of cryptocurrencies, and blockchain technology in general. Schär and Berentsen conclude that “Bitcoin has a wide… Read More

Report: US Department of Treasury, Financial Stability Oversight Council, has set up a Working Group on Cryptocurrency

This should come as no surprise but the US Department of Treasury, Financial Stability Oversight Council (FSOC), has established a working group to address the emergence of cryptocurrencies such as Bitcoin, Ethereum, Ripple and more. The announcement came on the heels of a meeting of… Read More

Independent Community Bankers of America Tells House Committee to Improve SME Lending Environment

The Independent Community Bankers of America (ICBA) testified before the House Small Business Committee on behalf of improving the environment for small business lending. Community banker and ICBA Chairman Cynthia Blankenship said she supported targeted reforms to ensure the Small Business Administration’s lending program continues… Read More

The Top Ten Fintech Predictions for 2018

Last year, I boldly predicted 10 Fintech movements that will take place as Earth makes another perfect rotation around our Sun. It’s always fun to look back and see how wrong I was, so let’s stump the chump! Here are my original predictions. Let’s score… Read More

Luxembourg Finance Minister Says Virtual Currencies are Here to Stay (Video)

The Luxembourg Finance Minister, Pierre Gramegna, was interviewed by Bloomberg while attending an event in Hong Kong. While the hed indicated the discussion was about Brexit, the more interesting discussion was about Fintech opportunities and cryptocurrencies. Gramegna was queried about possible new regulations on the… Read More

Singapore Deputy PM Responds to AML/Anti-Terror Financing Questions Regarding Cryptocurrency

Last week, a Singapore Member of Parliament, Foo Mee Har, posed some questions to the Singapore Prime Minister regarding enforcement of anti-money laundering (AML) and counter-terrorism financing and Bitcoin utilization where “conventional oversight mechanisms of the real money market do not apply.” Singapore Deputy Prime… Read More

Cryptocurrency Ban: Bank of Indonesia Halts All Usage of Digital Currencies Including Bitcoin

Bank Indonesia has issued a statement affirming that using Bitcoin, and any other cryptocurrency, is not allowed in Indonesia. Bank Indonesia has previously issued proclamations sharing their stance on digital currencies – most recently in December when the bank said usage would be banned in… Read More

Full Strength: Hester Peirce & Robert Jackson are Sworn in as SEC Commissioners

The Securities and Exchange Commission has finally filled the two vacant seats on the Commission as Hester M. Peirce and Robert J. Jackson were sworn in today by SEC Chairman Jay Clayton. Peirce and Jackson will join the other two Commissioners, Kara Stein and Michael… Read More

The Empire Strikes Back: Traditional Debt and Equity Capital Providers Get Smart(er) About Token Sales

With thanks to Greg Murphy of Outlier Ventures for his contribution to this article. Now that 2018 is well underway, traditional debt and equity capital providers would be wise to re-examine many of their familiar forms of contracts to identify new risks – and realize… Read More