Enforcement Actions Launched by Securities and Exchange Commission – Heightened Scrutiny of Blockchain and Cryptocurrency Companies

Share

A recent flurry of activity by the Securities and Exchange Commission (SEC) in court, and strong talk on the Hill, gives a clear indication that the U.S. regulatory agency is making a significant push to rein in the current wild-west atmosphere of investments in Blockchain and cryptocurrency companies.

In the wake of the DAO Report issued by the SEC in July 2017, the agency released several Investor Alerts to warn the public of the risks associated with investing in initial coin offerings (ICOs), including an alert to warn investors to be careful about advertisements by celebrities promoting ICOs and other Blockchain-related investments. Moreover, the SEC chairman and his counterpart at the Commodity Futures Trading Commission (CFTC) have recently released statements and op-eds and appeared before the U.S. Senate Banking Committee to elevate the awareness of lawmakers and the public of some of these risks.

Continue reading “Enforcement Actions Launched by Securities and Exchange Commission – Heightened Scrutiny of Blockchain and Cryptocurrency Companies”

The SEC’s Cyber Specialty Unit Strikes With Its First Case

Share

On December 4, 2017, the SEC Enforcement Division’s new Cyber Unit filed its first enforcement case for a fraudulent initial coin offering (ICO). This new specialty unit was established in late September to increase the Enforcement Division’s focus on cyber-related securities law violations. The focus areas of this unit include securities laws violations involving “blockchain” technologies and ICOs.
Continue reading “The SEC’s Cyber Specialty Unit Strikes With Its First Case”

©2024 Faegre Drinker Biddle & Reath LLP. All Rights Reserved. Attorney Advertising.
Privacy Policy