US Officials to get Blockchain Advice from US Treasury

The Treasury Dept. of the USA published a blog for the governmental structures interested in blockchain
26 March 2018   706

The message that was drafted by the Treasury’s Bureau of the Fiscal Service (BFS), contains several lessons that the authorities collected while experimenting with a an evidence of concept blockchain system.

The BFS recommended the officials to overcome the hype spreading around blockchain technology and impartially envisage whether a distributed ledger add value to their operations. According to the bureau, the systems of this kind are most rewarding for departments where central gatekeeping is costly (especially when stuff verify transactions) and there is less common trust between the various parties in the ecosystem.

The US Treasury also pointed out that the governmental services are better state their projects with non-technical people and DLT sceptics to test the suggested system “through a gauntlet” in order to observe whether it is really useful. That can be determined by the following way: if a working team is consisted of pro-blockchain people only, they can be “blinded by the hype and force a square peg into a round hole”. So, setting blockchain technology through a gauntlet would help the officials to understand the usefulness of the method and to monitor if it reaches the other side. The blog also recommended developers to dedicate expansive time to inquire stakeholders rather than leaping straight into devising the system.  

The Treasure Blockchain program started in October and it was aimed to utilize DLT-based systems to track physical assets (smartphones or computers). Agency authorities appreciated the technology`s ability to decrease forgery and magnify efficiency.

The Treasury's financial crimes division has been directed to enforce President Trump's recent order preventing US citizens and residents from dealing with the “Petro” (a state-backed cryptocurrency issued by Venezuela). It was the first time when the president has officially ordered a government department to take action towards a blockchain-based technology.

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   392

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.