McAfee changes the "Coin of a day"

John McAfee's daily column met criticism from cryptocurrency community
27 December 2017   1314

Last week John McAfee in his Twitter opened the column "Coin of the Day", in which every day recommended a new crypto currency. The community met McAfee's initiative with criticism, because immediately after the placement of the tweet a large number of traders started buying up the "promoted" crypto currency, selling it in a few minutes or hours. Thus, their actions did not differ from the notorious scheme of market manipulation "pump-and-dump".

McAfee reacted to these reports and decided to change the rubric a little.

Critics argue that the recommendations of McAfee attract exclusively speculators and prevent long-term investors from assessing the potential of the crypto currency they promote.

John McAfee is known as the creator of the world's first commercial antivirus. After leaving the company  in 1994 the entrepreneur tried himself in various fields, including the development of mobile applications, alternative medicine and the crypto-currency market.

German Financial Regulator Clarifies Stance on ICOs

The Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin) has clarified its position on ICOs
22 February 2018   29

German financial regulator admitted it was receiving many inquiries about the status of tokens and cryptocurrencies. According to an advisory letter, BaFin provides some basic definitions of ICOs and related terms. It is important because the results of a new survey showed that more than two-thirds of Germans know about bitcoin.

In this letter, BaFin educates the public and explains how tokens are typically generated, how blockchain works and that ICOs are used to raise funds for startup projects. The note states that for regulatory purposes, ICOs, tokens, coins, and cryptocurrencies are subject to the existing provisions in the field of securities supervision and other relevant national and EU laws.

The authority advises participants in ICOs to check and follow rules applicable to regulated financial instruments, such as securities. If businesses or individuals have any doubts about regulations, they should approach BaFin.

According to BaFin, companies should fulfill any obligations under the Banking Act and the Capital Investment Code, the Insurance Supervision Act and the Payment Services Supervision Act. The transactions may be prohibited if relevant regulatory requirements are not met.

The authority also states that legal classification of tokens requires precise examination. It will determine their status on a case-by-case basis after studying their features. The token should be transferable and tradable on cryptocurrency trading platforms in order to be classified as a security.