G20 to Urge Watchdogs to Assess Crypto-Related Risks

G20 representatives believe that at the moment, cryptocurrency doesn't thread global financial stability
10 June 2019   488

The G20 countries urged the Financial Stability Board and regulators in various countries to assess the risks associated with digital currencies. Reported by the Cointelegraph.

At the meeting the G20 participants noted that regulators should pay more attention to cryptocurrencies and the risks associated with them. It is emphasized that at the moment digital currencies do not pose a threat to world financial stability. The corresponding meeting of the ministers of finance and representatives of central banks of G20 countries took place in Fukoka, Japan, at 9th of June, 2019.

While crypto assets do not pose a threat to global financial stability at this point, we remain vigilant to risks, including those related to consumer and investor protection, anti-money laundering (AML) and countering the financing of terrorism (CFT).
 

G20's Document

G20 participants also appealed to the Financial Stability Board with a request to strengthen market monitoring and develop measures to counter these risks.

At the same time, the document notes that representatives of the G20 support the creation of platforms for trading cryptoactive assets that protect the interests of users and investors, as well as the integrity of the market.

In addition, the document talks about the potential advantages of the blockchain and cryptocurrency for the global economy.

At the end of last year, the final declaration of the G20 summit also noted the need to regulate the cryptocurrency market.

SEC to Accuse Veritaseum ICO of Fraud

SEC believes that project's tokensale, thru which it raised $14.8M back in 2017-2018 had a signs of scam and company misled the investors
14 August 2019   276

The U.S. Securities and Exchange Commission (SEC) has sued New Yorker  and Veritaseum-related companies that have been caught by the agency in conducting an unregistered ICO with signs of fraud. It is reported by Cointelegraph.

According to documents published on the network, the SEC intends to hold Reggie Middleton accountable and immediately freeze the assets of Veritaseum Inc. and Veritaseum LLC.

The Commission claims that the defendants raised about $ 14.8 million through an initial coin offering (ICO) in 2017 - early 2018. At the same time, many investors were misled, as the company distorted information about the conditions of the token sale and deliberately hid some significant details.

The American regulator claims that the project still has about $ 8 million of illegally raised funds. According to the SEC, these assets must be frozen immediately.

Amid this news, the Veritaseum (VERI) rate has fallen by 70%. Now the coin is trading near the $ 5 mark, although at the beginning of 2018 its rate was approaching $ 500.

Veritaseum was created as a financial p2p platform, involving the movement of capital without traditional intermediaries. Also, VERI was positioned as a utility token for use in consulting services and access to various research works.

In 2017, Veritaseum blockchain startup fell victim to hackers, having lost $ 8.4 million from ICO investors.