Posts Tagged ‘SEC’

DOJ, SEC Argue Vague Laws No Excuse for ICO Fraud

In twin filings submitted on March 19, the Department of Justice (DOJ) and the Securities and Exchange Commission (SEC) dismissed claims by defendant Maksim Zaslavskiy that U.S. securities laws don’t apply to the sale of tokens tied to two ventures, one backed by real estate and the other by diamond holdings. The DOJ’s filing strikes a […]

Dozens of cryptocurrency startups under investigation, says SEC

The US Securities and Exchange Commission (SEC) has confirmed that ‘dozens’ of startups are currently being investigated for violations of federal securities regulations. These ICOs have long been under scrutiny by the SEC, and it was reported earlier this month that up to 80 subpoenas had been issues to ICO operators and advisers. Read more […]

US Government to Submit ‘Oversized’ Argument in ICO Fraud Case

U.S. prosecutors are planning an “oversized” response to a motion to dismiss in an ongoing — and potentially precedent-setting — ICO fraud lawsuit. Maksim Zaslavskiy has been accused of committing securities fraud in connection with two ICOs, RECoin and Diamond Reserve Club World. In September of last year, the U.S. Securities and Exchange Commission filed suit, […]

Bitcoin And Other Cryptocurrency Exchanges Must Register: SEC

The US Securities and Exchange Commission has come out with a new report saying the cryptocurrency exchanges trading in security tokens must register with it.  The report also carries warnings on the dangers of crypto exchanges that are unregulated and states that every trading platform that exchanges digital assets are reckoned as securities and must register with the regulator. […]

Initial Coin Offering Attorneys Beware, You Could Be Next!

Following the SEC’s recent initial subpoena offerings targeting ICO issuers, many believe the SEC might now turn its sights toward some of the gatekeepers involved in the subject ICOs, including the attorneys. Some attorneys practicing in the ICO space have simply been too aggressive in their approaches, or otherwise negligent in their advice to clients, drawing recent […]

Medadyn Announces Formal Request of the Securities and Exchange Commission of ICO and Token Compliance Review

Medadyn, a cryptocurrency company that’s creating a new vehicle to finance projects within the media, music and entertainment sectors, has announced that it has formally asked the SEC for a review of the positioning of its ICO. Medadyn recently delayed its March ICO until May 2018 to ensure compliance with shifting regulations within the cryptocurrency market, globally […]

Spooked By SEC, Video Streaming ICO Halts Airdrop

According to Simar Managt, the co-founder of distributed video streaming startup Stream, the current environment of regulatory uncertainty and rumors of subpoenas is putting such a pinch on projects that many are thinking about “moving elsewhere.” Stream is releasing a white paper that outlines its token distribution, but the process is on hold until the team knows how U.S. […]

How to Respond to an SEC Subpoena: The Top Ten Tips for Cryptocurrency Entities

Receipt of a subpoena alone need not cause a massive disruption to your business. But failure to respond appropriately almost certainly will. The SEC has demonstrated it will reward cooperation and come down hard when they believe they are facing resistance. By carefully considering these top ten tips offered by a group of experts, anyone […]

Reaction to SEC ICO Probes

Last week, the SEC roiled crypto markets by announcing targeted subpoenas on ICOs that might be violating securities laws. These subpoenas seem more investigative than punitive as they are pursuing information about sale structure for the pre-sale portion of the ICO. The collective ignorance surrounding the ICO market made the SEC’s actions seem inevitable. So far, the reactions have […]

SEC Chair Says ‘We Are Watching’ As Companies Launch ICOs

Jay Clayton, the chairman of the U.S. Securities and Exchange Commission, believes companies shouldn’t ignore existing securities law, regardless of whether a token sale is conducted privately or publicly. He highlighted how some companies are turning to the blockchain funding model after having issues trying to raise money through more common means, calling the trend “troubling.” […]