German Watchdog to Approve $280M Tokensale

Fundament Group is a Berlin-based DLT startup that is going to sale ERC-20 tokens which will allow its holders to invest in commercial real estate in Germany
24 July 2019   394

The Federal Financial Supervisory Authority of Germany (BaFin) has approved a tokensale from the Fundament Group Berlin-based blockchain startup in the total amount of 250 million euros. The campaign will be available to both accredited and retail investors without restrictions on the size of investments.

Note that we are talking about the ERC-20 standard token, which will allow its holders to invest in the construction of commercial real estate in Germany. The project includes three sites in Hamburg, one in Frankfurt and one on the campus of Jena.

The token is a right to annual dividends in the amount of 4-8%, as well as payments on the basis of construction. In this case, the Fundament Group will hold a tokensale without the participation of the investment bank as an intermediary in order to minimize costs, thereby taking on all obligations.

Investors will be able to purchase assets for Bitcoin, Ethereum, US dollars and euros. Those who pay by Fiat will receive tokens on the hardware wallet.

It is worth adding that the passage of KYC-procedure by investors is a prerequisite for participation in the campaign.

At the beginning of this month, the US Securities and Exchange Commission (SEC) approved a $ 28 million Blockstack tokensale for accredited and retail investors.

Immediately after that, the agency approved the distribution of 187 million Props tokens between content creators and YouNow streaming platform users for internal activity in order to influence their degree of involvement.

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   304

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.