Tagged: icos

SEC Enforcement Co-Director Emphasizes Importance of International Cooperation to Combat ICO Fraud

Steven Peikin, Co-Director of the SEC’s Division of  Enforcement, told an audience at Harvard Law School this week that, given the increasingly cross-border nature of ICO and securities fundraising, “Collaboration with international regulators and law enforcement is critical to the SEC’s civil law enforcement success.”… Read More

Beijing Municipal Finance Director Nixes Unlicensed Security Tokens Any Time Soon, Advises “Awe of Supervision”

At the end of a long speech about cultivating an honest and effective wealth management industry in China’s political and financial capital, Beijing, Huo Xuewen, nixed the idea ICOs (initial coin offerings) will be allowed to quickly morph into security tokens (STOs) anytime soon. According… Read More

Initial Coin Offerings: I Have to File a Form 10? Great! What’s a Form 10?

Those who have read the SEC settlements with AirFox (CarrierEQ.Inc.) and Paragon Coin, Inc. published on November 16, 2018, will note that the defendant ICO issuers agreed, among other things, to register their “coins” under the Exchange Act (the Securities Exchange Act of 1934) by filing… Read More

Case Against Airfox and Paragon Initial Coin Offerings Makes Abundantly Clear SEC’s Approach to Post DAO ICOs

Last Friday, the SEC settled charges against two companies, CarrierEQ Inc. dba Airfox (“Airfox”) and Paragon Coin Inc. (“Paragon”), which raised money with initial coin offerings (“ICOs”).  The SEC found that both companies violated the registration provisions of the U.S. securities laws because neither company… Read More

Reading the Tea Leaves: Doug Ellenoff Shares Opinion on SEC Enforcement Action Against Two Post DAO Report ICO Issuers

Last week, the Securities and Exchange Commission (SEC) announced enforcement actions against two initial coin offerings (ICOs): Paragon (Paragon Coin Inc.) and AirFox (CarrierEQ Inc. dba Airfox). As the SEC recounted in their Administrative filing: Airfox: “Between August and October 2017, AirFox offered and then… Read More

Republic’s GC Comments on SEC Enforcement Action Against Two ICOs: “Industry Participants Should Study this Settlement Closely”

Earlier today, CI reported on the first enforcement actions taken by the Securities and Exchange Commission (SEC) pertaining to post-DAO initial coin offerings (ICOs). The case is precedent setting and sets a clear path for enforcement officials to proceed with other ICO issuers who raised… Read More

First Two Sanctioned ICO Issuers Settle with SEC: Will Refund Investors, Register as Securities and Pay Fines [u]

This has been a big week for digital asset / ICO law in America. Yesterday, Maksim Zaslavskiy pleaded guilty to fraud in a federal court in Brooklyn for selling the digital tokens RECoin and Diamond Reserve Coin, tokens he falsely claimed were backed by real-world… Read More

EC VP Valdis Dombrovskis Comments on Regulation of Virtual Currencies & ICOs, Expects Commission to Publish Perspective Before End of Year

European Commission Vice-President Valdis Dombrovskis has issued a comment on the regulation of initial coin offerings (ICOs) and virtual currencies. The statement is part of an ongoing discussion within the European Parliament and the Commission. Dombrovskis is the Commissioner in charge of Financial Stability, Financial… Read More

France: Are ICOs a New Method of Finance? French Regulator AMF Publishes Report on Crypto

The Autorité des Marches Financiers (AMF) the regulator that has oversight of securities in France, has published a report on initial coin offerings. Entitled ICO Françaises: Un Nouveau Mode de Financement? – the document is a follow up to a year ago launch to the… Read More

Thailand to Approve First ICO Portal this Month, Others to Follow

The Thailand Securities and Exchange Commission (SEC) is expected to approve the first initial coin offering (ICO) portal at some point this month, according to a report in the Bangkok Post. The approval follows a royal decree from last May that stipulated that the Thai… Read More

Four More ICOs Sanctioned in Colorado

Colorado Securities Commissioner Gerald Rome has ordered four more issuers of initial coin offerings to stop selling unregistered securities in the Western American state. The latest round of cease and desist orders brings the total number of ICOs now sanctioned by Colorado to 12. Bitcoin… Read More

China Flags Crypto “Airdrops”

As part of ongoing government efforts to quash initial coin offerings (ICOs) in China, the People’s Bank of China (PBoC) has extended prohibitions to cover “airdrops” -the promotional distribution of free cryptographic tokens- which may possibly be being used now in China to circumvent the… Read More

Thai Securities and Exchange Commission Warns Public About 9 Initial Coin Offerings

On Friday, the Securities and Exchange Commission of Thailand issued a warning to investors pertaining to nine different initial coin offerings (ICOs) / tokens. The Thai SEC stated these offerings, which are typically promoted via social media platforms such as Facebook, have not been reviewed… Read More

Report: France to Ensure Crypto Companies Have Access to Banking Services

The French France

In much of the world, digital asset companies are frequently accompanied by challenges with the traditional financial system. Initial coin offering issuers and crypto-intermediaries regularly find themselves struggling to open a simple bank account. In France, this will not be the case according to a… Read More

Doug Ellenoff Discusses the Emerging Security Token Market, Contrasts STOs to the ICO World: In the US, a Utility Token is a Myth

Initial Coin Offerings (ICOs) hit the popular media screen during 2017 with stories of outrageous sums of money being raised online – sometimes under questionable circumstances. In total, according to EY, $4.1 billion was raised for the top ICOs during 2017. In 2018, that number… Read More

Group-IP Says $882 Million Pilfered from Crypto Exchanges, North Korean Hackers Take Gold Medal in Crypto Theft

Group-IB, a company that provides computer forensics and cybersecurity services large international companies, published a report last week the put a number to the frequent cryptocurrency exchange hacks that seem to happen on a weekly basis.  According to Group-IB, attacks during 2017 and through Q3… Read More

Hong Kong Securities Regulator Seeking Balanced Crypto Rules Says Chief

Properly regulating the cryptocurrency sector is a complex affair, says outgoing Hong Kong Securities and Futures Commission (SFC) chairperson Carlson Tong, but a complete ban is futile: “We do not think imposing a total ban on these platforms is necessarily the right approach, and it will… Read More

SEC Expands Scrutiny of Companies That Sold ICOs to Unaccredited Investors

The American Securities and Exchange Commission (SEC) has been following up on “scores” of subpoenas it sent in January to companies issuing ICOs (initial coin offerings) and is now focussing on those and “many more” that sold ICOs to unaccredited investors, Yahoo Finance reports. Based… Read More

South Korean Government Reps Reaffirm Anti-ICO Stance

South Korean Finance Minister, Yong-Joo Park told auditors from the Finance Committee of the Yeouido National Assembly in Seoul this morning that ICOs (initial coin offerings) pose undue risks to investors and should not be equated with blockchain, Yonhap News reports. “The government does not… Read More

Just 2 of 8 German ICO’s Are in the Black

Ethereum’s mythical 17 000% 2017 price rise is but a distant memory in 2018’s long bear market, and for three-quarters of ICO (initial coin offering) projects initiated in Germany by German companies, a “loss is now closer than such dream returns,” WirtschaftsWoche reports. A total of… Read More

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