Are ICOs In The Crosshairs Of New York's Martin Act?

By Daniel Alter (March 15, 2018, 12:50 PM EDT) -- Over the past several months, the U.S. Securities and Exchange Commission has launched a major enforcement initiative against initial coin offerings, otherwise known as ICOs. An ICO is defined as a "means of crowdfunding centered around cryptocurrency, which can be a source of capital for startup companies."[1] The marketed coins are "preallocated to investors in the form of 'tokens,' in exchange for legal tender or other cryptocurrencies ... These tokens supposedly become functional units of currency if or when the ICO's funding goal is met and the project launches."[2] ...

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