SEC-compliant ICO exchange announced by Overstock

Overstock is to open an exchange for legal token trading
28 September 2017   1944

It seems like the regulated token trading is coming. Thus, Overstock's tØ is launching a first-of-its-kind alternative trading system (ATS) that will provide a platform for the exchange of cryptographic tokens categorized in the U.S. as securities.

As reported by coindesk.com, the new system is based on the already existing platform tØ in partnership with the fintech company RenGentt and Argon Group (an investment bank specializing in ICO capital raising). The ATS will be regulated by both the SEC and the Financial Industry Regulatory Authority (FINRA).

I think it's a historic event. We're opening a new type of capital market.
 

Patrick Byrne
CEO of Overstock

Until now, there have been no such platforms, and its creation can be seen as a major step in the development of the entire cryptoindustry. Today, ICO issuers either must attempt to create a token that does not meet the SEC's definition of a security, or they must meet that definition and give up the liquidity that comes from being publicly traded. Emma Channing, Argon's general counsel and interim CEO, argues that the new platform announced today will eliminate that choice.

We believe this is exactly what the SEC was asking for in the DAO report.
 

Emma Channing
Argon's general counsel and interim CEO

As detailed, Emma Channing believes her firm's new ATS could see $2 billion in trading within the next 12 months.

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   223

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.