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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