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It also seems as if just about everyone is considering an ICO but they go to great pains to avoid being classified as a security to be free of the Securities and Exchange Commission (SEC) regulations. The regulators from both local (New York State) and federal agencies have taken a more aggressive stance recently with ICOs and cryptos in general. This could be a plus for the European and Asian markets as firms looking to launch might choose other countries with less aggressive regulators. The SEC recently announced that all ICOs will be considered as a security which means they will fall under their jurisdiction and will need to be regulated. The commissioner Jay Clayton has stated in regard to ICOs, “we regulate the offering of that security and regulate the trading of that security.” From what I have been told and learned some players were able to get around this security designation by using a Simple Agreement for Future Tokens (SAFT). Those with a SAFT invest in the firm’s technology but not in the firm. In other words they have no ownership stake in the firm itself. A small but key difference from IPOs for example. However, the new opinion by the SEC will change that. I am not a lawyer and will not pretend to give legal advice. I would suggest that if doing an ICO in the United States get a good lawyer who understands the latest regulations which appear to be changing by the week.

The New York Crypto and The City Scene

Written by Wayne Walker I am working yet again in New York City and I wanted to share some observations on the scene here in contrast to Europe. My viewpoint has a different angle because I grew up, studied, and worked the early parts of my career here before moving to Europe where I now live.

Since the legislation was completed, Bloomberg reported that two or three crypto companies register in the state every day — which, in and of itself, will bring increased revenue a the state in which mining and energy are the main drivers of the economy. If companies set up offices in the state, it will mean more money in its coffers. As for a Securities and Exchange Commission crackdown on cryptocurrency Wyoming isn’t concerned. State Representative Tyler Lindholm, a Republican who sponsored key parts of the blockchain laws, told Bloomberg that he and other lawmakers have the SEC coming to the next meeting of a task force set up to look at blockchain laws. “My legislation does tend to not align with federal bureaucracies very well, and it wouldn’t be the first time I got a letter from an agency at the federal level,” Lindholm said, noting that other states, including New Hampshire and North Dakota, have reached out to learn about passing similar laws.

Wyoming's Friendly Laws Lure Crypto Companies | PYMNTS.com

Wyoming is trying to position itself as a leader in cryptocurrency and one of the friendliest states when it comes to legislation around crypto companies. According to a report in Bloomberg back in March, Republican Governor Matt Mead signed into law legislation on limited liability corporations that is more friendly to blockchain companies, making so-called […]

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