The SEC is studying the data of hundreds of companies that have implemented ICO – study
The periodic news about the closure of the Commission on securities and exchange Commission (SEC) of an ICO, or the results of the investigation — only a surface part of Auberge. The lack of clear standards and framework does not prevent the us regulator to check the documentation of tens, if not hundreds of startups, many of whom prefer not to bring the case to the sanctions.
SEC on 11 October published a strategic plan of its activities for the years 2018-2022. In a document of 15 pages is absolutely no mention of cryptocurrencies or tokens, and only once the term of the ICO, and in a rather harmless context.The Commission admits that some of the sponsors of the ICO “may try somehow to avoid the effects of the legislation on securities”.
However, a joint investigation conducted by Yahoo Finance and Decrypt claims that this stingy place lies a large-scale campaign to check the ICO conducted start-UPS, which leads the SEC, and that the public be not all its results.
The authors also argue that the subpoenas from the SEC from the beginning of 2018 received hundreds of companies. Suddenly it became clear that it was necessary to ensure that they produced the token is not a security and does not fall under its definition, and in any case to inform about the release of SEC.
In relative safety may feel like the companies which sold the tokens only non-U.S. investors or only to accredited investors — that is, individuals with income over $200 thousand for each of the previous two years or the state more than $1 million And all these data must be documented strictly in the prescribed form — SEC works with documents and not with the questionnaires completed online. Such that these conditions are met is not exactly interested in the SEC, but who thought about it during the boom. ICO?
The study’s authors argue that many of the startups took the hint perfectly, figured the possible consequences and chose to quietly resolve the issue behind closed doors, returning funds to investors. “Press release SEC, which will appear the name of our company is that we need less,” says a representative of one of these startups.
However, such a relatively painless way of retreat is not available to all companies who are targets of attention of the regulator. To return the money easily when they are already assembled and the tokens are issued. In case, if the organizers of the ICO are not particularly strained with KYC or already issued tokens to get the money back is not so fast and easy.
“Practically it is impossible, — says CEO Сhainalysis Jonathan Levin. — In many cases people bought tokens through accounts on the exchanges. This actually addresses exchanges. The only way in this case to return the funds to the investors, it is in the case of Mt. Gox: to publish the announcement, and the owners of the tokens will have to prove that they are entitled to compensation”.