Tag: ICO
Coming Soon: Digital Asset Regulation
In January, Bitcoin dropped to approximately 50% of its 2017 peak price. Other digital currencies saw similar declines. Most market observers blamed these massive price fluctuations on related events: (i) widespread reports of fraud and price manipulation, and (ii) increasing prospects for the regulation of digital assets and currencies. Indeed, 2018 has brought us federal… Read More
The Risks of Cryptocurrency and How the Government Will Protect Consumers
Bitcoin and a host of cryptocurrencies have taken both Wall Street and Main Street by storm in 2017. The nearly continuous gains in the price of Bitcoin have spawned numerous imitators and led a number of companies to raise critical start-up funds by selling their own token/cryptocurrency in a process similar to an initial public… Read More
SEC and FTC Warn Celebrities Must Disclose Financial Connection For ICO Endorsements
Cryptocurrency is the latest trend to be embraced by celebrities, so much so that the federal government this month issued a warning about the possible risks involved. Both the U.S. Securities and Exchange Commission (SEC) and the Federal Trade Commission (FTC) have made clear that if a celebrity is being paid to promote a product… Read More
SEC Continues to Focus on ICOs
A new enforcement initiative by the Securities and Exchange Commission, part of its proclaimed efforts to address cyber-based threats and protect retail investors, indicates that the agency is including Initial Coin Offerings (ICOs) under its broad blanket of protection. Recent actions by the agency in the case of REcoin give more clues to its position… Read More
ICOs Facing an Uncertain Future in China and the U.S.
This week, in a joint statement issued by the People’s Bank of China, the securities and banking regulators, and other government agencies, the Chinese government declared that initial coin offerings (ICOs) constitute “illegal open financing behavior” and immediately froze all ICO activity. The joint statement explained that the tokens issued in ICOs do not have… Read More
ICOs: Proceed with Caution
Today, the Securities and Exchange Commission (“SEC”) issued an investor bulletin and an investigative report. The investigative report found that companies involved in sales of digital assets via distributed ledger or blockchain technology may be engaged in conduct subject to federal securities laws. While this report is the first of its kind to address initial… Read More
IFRAH Law
