By Robert W. Pommer III and Darren J. Sandler ( September 25, 2017, 10:48 AM EDT) -- In a recent report of investigation, the U.S. Securities and Exchange Commission weighed in for the first time on the circumstances under which a virtual currency token will be deemed a security and subject to the federal securities laws.[1] The implications are far-reaching: any cryptocurrency token deemed to be a security must be registered with the SEC or otherwise eligible for an exemption from registration requirements; issuers and other participants involved in the sale of unregistered cryptocurrency-securities may be subject to liabilities and other remedies under state and federal securities laws. This article discusses the remedy of rescission and its application to the sale of unregistered cryptocurrency tokens in violation of the securities laws....
Law360 is on it, so you are, too.
A Law360 subscription puts you at the center of fast-moving legal issues, trends and developments so you can act with speed and confidence. Over 200 articles are published daily across more than 60 topics, industries, practice areas and jurisdictions.
