Dan Brecher
Counsel
212-286-0747 dbrecher@sh-law.comAuthor: Dan Brecher|January 24, 2018
Securities and Exchange Commission (SEC) Chair Jay Clayton recently issued a public statement on bitcoin and other cryptocurrencies. He also addressed companies’ use of initial coin offerings (ICOs) to raise capital. While the SEC’s latest warning does not create any new guidelines, it does highlight that the agency is seriously policing the growing market.
“A number of concerns have been raised regarding the cryptocurrency and ICO markets, including that, as they are currently operating, there is substantially less investor protection than in our traditional securities markets, with correspondingly greater opportunities for fraud and manipulation,” he said. Noting that both investors and businesses have legal questions regarding certain products and offerings, he added, “The answers to these and other important questions often require an in-depth analysis, and the answers will differ depending on many factors.”
Below are five key takeaways from Clayton’s statement on ICOs:
Do you have any questions? Would you like to discuss the matter further? If so, please contact me, Dan Brecher, at 201-806-3364.
Counsel
212-286-0747 dbrecher@sh-law.comSecurities and Exchange Commission (SEC) Chair Jay Clayton recently issued a public statement on bitcoin and other cryptocurrencies. He also addressed companies’ use of initial coin offerings (ICOs) to raise capital. While the SEC’s latest warning does not create any new guidelines, it does highlight that the agency is seriously policing the growing market.
“A number of concerns have been raised regarding the cryptocurrency and ICO markets, including that, as they are currently operating, there is substantially less investor protection than in our traditional securities markets, with correspondingly greater opportunities for fraud and manipulation,” he said. Noting that both investors and businesses have legal questions regarding certain products and offerings, he added, “The answers to these and other important questions often require an in-depth analysis, and the answers will differ depending on many factors.”
Below are five key takeaways from Clayton’s statement on ICOs:
Do you have any questions? Would you like to discuss the matter further? If so, please contact me, Dan Brecher, at 201-806-3364.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.