SEС suspects two ICOs in fraud

REcoin and DRC World, led by Maxim Zaslavsky, are suspected in fraud by Securities and Exchange Commision
30 September

The Securities and Exchange Commission (SEC) brought charges of fraud against ICO start-ups for the first time. 

According to the SEC press release, the activities of the Diamond Reserve Club World (DRC World) and the REcoin Group Foundation, run by businessman Maxim Zaslavsky, revealed signs of fraudulent schemes, as well as violations of securities laws.

According to the SEC, during the two ICO-campaigns Zaslavsky sold crypto-loans that were not secured by assets. At the same time, according to the representatives of the Commission, the entrepreneur assured REcoin participants that the funds are being attracted "for investing in real estate."

Regarding the DRC World project, Zaslavsky promised investors that the funds raised during ICO will be invested in diamonds and provide crowdsale participants will receive discounts on their products. However, according to the SEC, the entrepreneur did not show any business activity in these areas.

Among other things, Maxim Zaslavsky assured his investors that he is working with a "team of lawyers, professionals, brokers and accountants." According to the SEC, Zaslavsky did not engage in hiring personnel.

Also, the businessman said that during the ICO project REcoin attracted "from 2 to 4 million dollars", but, according to the SEC, only $ 300 thousand was collected.

Returning to another project of Maxim Zaslavsky, DRC World, it is worth noting that it was created already after the Commission intervened in the activities of REcoin.

Investors should be wary of companies touting ICOs as a way to generate outsized returns. As alleged in our complaint, Zaslavskiy lured investors with false promises of sizeable returns from novel technology.
 

Andrew M. Calamari
Director, SEC’s New York Regional Office

According to the urgent decision of the federal court of Brooklyn, both companies and all assets of Maxim Zaslavsky were frozen. Currently, the SEC requires companies to pay fines, as well as return all funds raised. In addition, the Commission will take measures to prohibit Zaslavsky to conduct ICO-campaigns in the future.

Intel to Apply Blockchain Mining to Genetic Sequencing

Intel intends to utilize the energy expended during cryptocurrency mining for the sequencing of genetic data
15 December

Yesterday the U.S. Patent released a patent application called "Blockchain System with Nucleobase Sequencing as Proof of Work". In the application Intel’s inventors describe a type of computer called a sequence mining platform (SMP) which would identify the order or nucleobases in a deoxyribonucleic acid (DNA) or ribonucleic acid (RNA).

Nucleobases are the molecules that make up DNA and RNA, which contain the genetic information within every living organism on the planet. The order of these bases determines what physical traits a person, plant or animal features.

The patent application states that the SMP would use a nucleobase sequencing unit to actually establish the order of nucleobases in a given sample, which would then be verified by the blockchain before being permanently recorded on it.

The POW algorithm will be used to both identify the sequence and subsequently verify it, according to the application, and the sequence recorded on one block would be used as a base for the POW problems in the next block.