SEC to Subpoena Riot Blockchain

In January, the SEC announced that it will check the companies that have reoriented to the blockchain area recently
18 April 2018   540

Riot Blockchain company, whose shares are traded on the Nasdaq, hit the headlines last year, after it reoriented to the sphere of brokchain and crypto. The US Securities and Exchange Commission wants to know more about its activities. This is reported by Coindesk.

The announcement was made in an annual report. The company said that it received a summons from the SEC, in which the service requested "certain information".

As part of its review of the Company's public filings, the Securities and Exchange Commission...has inquired about certain of the Company's assets' classification as, and amount of, possible Investment Company assets. The Company intends to fully cooperate with the SEC request.
 

SEC's Filling

The fact that the American regulator became interested in the activities of Riot Blockchain isn't surprising. In January, the SEC announced that it will check the companies that have reoriented to the blockchain area in recent months on the wave of investors' interest in this topic.

The SEC is looking closely at the disclosures of public companies that shift their business models to capitalize on the perceived promise of distributed ledger technology and whether the disclosures comply with the securities laws, particularly in the case of an offering.
 

Jay Clayton

Chairman, SEC

Shares of Riot Blockchain experienced a recovery in December, peaking at $ 40. On Tuesday, trading on shares of Riot Blockchain Inc closed at around $ 7.30, according to Google. Earlier, a group claim was filed against Riot Blockchain because of the violation of the Securities Exchange Act of 1934.

On March 31, the company announced the purchase of a futures broker and announced that it intends to open a crypto and futures exchange in the US.

Also in its report the company cites information that its shares can wait for delisting on the Nasdaq exchange because it did not hold an annual meeting, as required by the rules of the exchange.

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   174

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.