Ex-SEC Official to Criticize IEO

John Reed Stark, 11 served as the headed the Internet law enforcement department believes IEO is "unregulated crypto-casino fundraising mutations"
07 June 2019   930

John Reed Stark, who served 20 years in the US Securities and Exchange Commission (SEC), 11 of whom he headed Internet Enforcement department, being retired, is closely following the latest trends in the cryptocurrency industry.

In a recent publication for the Law360 portal, Stark decided to crush the phenomenon of initial stock exchange offerings (IEO), calling them "predators" and promising that the SEC would cover this "unregulated crypto-casino fundraising mutations".

They are an enticing medium for fraud, manipulation, insider trading, hacking and a broad range of chicanery. IEOs represent yet another blatant attempt to hijack a similar-sounding acronym — IPO — in an effort to lure investors seeking to get rich quick. However, just like ICOs, the IEO has not a single element in common with the IPO (other than the first and last letters of its acronym).
 

John Stark

Ex Head of Internet Enforcement Office, SEC

Stark is a longtime opponent of cryptocurrency and supports Warren Buffett in his opinion that Bitcoin is "akin to rat poison".

Much of bitcoin’s value, outside of mere speculation, is derived solely from its ability to facilitate criminal activity. Need a fake ID, bottle of opiates, a cache of credit card numbers, or a thousand Social Security numbers? Need a way to collect a ransomware payment? Need to fund terrorist-related activities? Need to hire a hitman? Cryptocurrencies like bitcoin have become the payment of choice for these, and a slew of other, criminal enterprises.
 

John Stark

Ex Head of Internet Enforcement Office, SEC

Some time ago another SEC official had criticize own agency for "smothering ETFs with personalized attention as if they were infants".

Chainlink May Sell Big Amount of Own Tokens

According to the experts' research, $30M worth tokens were sold by the ICO team itself
12 August 2019   1943

The Chainlink team was suspected of large-scale liquidation of LINK tokens. For a month and a half, the project capitalization decreased by $ 600 million, Trustnodes reports.

On July 6, a recruitment message was posted on the project’s Twitter page, which, according to some observers, was the beginning of the dump.

We do sincerely appreciate our community’s continued support and understanding as we expand the number of people working on Chainlink, and we will of course do our best to ensure that our expansion plans are accomplished responsibly, carefully managing the company's resources, capital and LINK, with a focus on continuing to create an overall positive effect on the Chainlink network over the long-term.
 

Sergey Nazarov (old message in the company's blog)

Chainlink team

Following this message, a schedule was circulated on social networks showing the alleged token sales of 700,000 LINK at each price rebound after reaching a peak at the end of June.

Alleged Chainlink Dump, Aug 2019
Alleged Chainlink Dump, Aug 2019 

According to Etherscan, 14 transactions of 700,000 LINK were made, which totaled 9.8 million tokens, or about $ 30 million.

After going through a small chain of addresses, these tokens were sold on Binance, noted in Trustnodes.

Chainlink Selling, Aug. 2019
Chainlink Selling, Aug. 2019

Observers believe that at the end of June the daily trading volumes of ChainLink on the Binance exchange were artificially boosted. So, with a capitalization of only $ 1.4 billion, this figure amounted to $ 863 million. According to some, the price movement chart for the mentioned period looks unnatural, especially considering that volumes in favor of sales were recorded on one of the green candles. There is a possibility that the unknown wanted to provoke FOMO, but could not achieve the goal.

Some believe that the message about the expansion of the staff was only an attempt to hide the large-scale liquidation of tokens.

It is worth noting that in 2017 Chainlink raised $ 32 million through the sale of 350 million LINK through an ICO. At the same time, the team saved 650 million LINK for the further development of the project.

According to a recent analysis of the ICO market, Chainlink entered the top five most successful ICOs in terms of growth in bitcoin.