trade.io and Civic partner up to provide a new way of identity verification

Civic will provide their blockchain-based id verification technology for the benefit of trade.io users
19 December 2017   1790

trade.io, a cryptocurrency exchange with a very successful ongoing ICO, announced the plans for partnering with Civic – a blockchain-driven identity verification service. Civic is a pioneer in this field and boasts that their services reduce the overall cost of Know Your Client (KYC) requirement.

This is a step in right direction, because trade.io presents the only available cryptocurrency liquidity pool with 50% of the daily revenue designated to participants' payout. And utilizing Civic's services in this case will allow to qualify the clients for exchange and liquidity pool a lot faster, cheaper and, most important, in compliance with the law, so there wouldn't be any unpleasant surprises from the legal side of things.

trade.io CEO Jim Preissler commented on the partnership in question. He pointed out that the main problem in the world of finance is not only getting people to trade fast, but also to make the whole process AML-compliant without disrupting the trade and ease of access to the platform. Also the scalability of the service is crucial to continuous and growing ecosystem like trade.io.

As for the ICO, trade.io has already managed to collect more than 9500 investors, who contributed over $19 million to the creation of the first blockchain-based trading and exchange platform.

Court to Ban TON Tokens Release

U.S. District Judge P. Kevin Castel, of the Southern District of New York issued a temporary restiction, therefore supporing the SEC
25 March 2020   289

The American court issued an order to the developer of the Telegram messenger, according to which he should refrain from the distribution of tokens of the TON blockchain project planned for next month.

According to CoinDesk, on March 24, the District Judge of the Southern District of New York, Kevin Castel, issued a temporary injunction, recognizing the SEC's arguments regarding the sale of unregistered securities by the company as reasonable.

The Court finds that the SEC has shown a substantial likelihood of success in proving that the contracts and understandings at issue, including the sale of 2.9 billion Grams to 175 purchasers in exchange for $1.7 billion, are part of a larger scheme to distribute those Grams into a secondary public market, which would be supported by Telegram’s ongoing efforts.

 

Kevin Castel

U.S. District Judge

According to the judge, this feature does not allow considering the Telegram offer as subject to exceptional conditions. He also noted that Telegram structured its project in such a way as to attract “the maximum number of primary buyers” against the background of the expectation of maximum profit at the time of launch.

Considering the economic realities under the Howey test, the Court finds that, in the context of that scheme, the resale of Grams into the secondary public market would be an integral part of the sale of securities without a required registration statement. 

 

Kevin Castel

U.S. District Judge

Conducting an analysis from the standpoint of the Howey test, the judge stated that buyers expected to profit from participating in the campaign. Moreover, although Telegram may argue that it will not become a guiding force in the further development of TON, “in fact,” it will be precisely this.

The judge agreed to distinguish between non-existent Gram tokens and securities purchased by TON investors, but refused to support Telegram's argument that Gram would be a commodity.

The Court rejects Telegram’s characterization of the purported security in this case. While helpful as a shorthand reference, the security in this case is not simply the Gram, which is little more than [an] alphanumeric cryptographic sequence.

 

Kevin Castel

U.S. District Judge

This is not the final decision, but it can serve as a powerful indicator of what position the court will adhere to further.