After Cancelling ICO, Crypto Startup Zwoop Filed for Administration: Report

The board of directors of cryptocurrency and e-commerce startup Zwoop reportedly filed for administration at the end of November last year. The news was revealed in an exclusive article by major United Kingdom-based newspaper The Telegraph, Jan. 11. According to anonymous sources cited in a report by tech news outlet The Next Web, this move has left employees and suppliers of the company with unpaid wages and bills. Namely, the company allegedly owes one London-based marketing agency £42,000 (about $53,858) and a public relations firm £30,000 (about $38,470). Zwoop —…

2018 Sees 550% Uptick in Exempt ICO Securities Offerings Filed With the US SEC: Report

2018 witnessed a significant uptick in the number of initial coin offerings (ICOs) authorized by the United States Securities and Exchange Commission (SEC) to sell securities to large-scale investors, according to financial news channel MarketWatch, Jan. 11. MarketWatch reportedly compiled its data for 2018 by searching the SEC’s Electronic Data Gathering, Analysis, and Retrieval (EDGAR) system for keywords such as “coin,” “ICO,” “token,” “initial coin offering” and “saft.” Their research reportedly found 287 results for evidently ICO-related fundraisings that were accepted by the agency to offer securities under what is…

Ethereum ‘Will Quickly Test $200’ When ICO Market Returns

Initial coin offerings (ICO) will return within “18 months” and Ethereum (ETH) will “rebound aggressively,” BitMEX CEO Arthur Hayes told Cointelegraph Japan Dec. 26. BitMEX is a Seychelles-based cryptocurrency trading platform that has become one of the largest trading platforms in the world by volume. Speaking in an exclusive interview, Hayes forecast a return to form for 2018’s “dead” ICO markets. “The use case for Ether is primarily ICOs. That market is dead right now,” he said, adding: “Once there are new issues, then Ether will rebound aggressively. When the…

South Korean Startup Presto to File Constitutional Appeal Against Local ICO Ban

A South Korean blockchain startup, Presto, will reportedly file a constitutional appeal over the county’s ban on Initial Coin Offerings (ICOs), South Korean economic media outlet Sedaily reports Dec. 6. Presto claims on its website that it provides a “total solution to development teams from website building to token issuing.” The startup was reportedly trying to run a Decentralized Autonomous Organization-based Initial Coin Offering (DAICO) in South Korea for the first time. As Cointelegraph explained in a dedicated guide, DAICOs aim to improve the ICO fundraising method by integrating some…

Beijing Bans New Update to the ICO, the Security Token Offering

It seems China really wants to give cryptocurrencies a hard time. The country has always been strict against the blockchain and crypto industry, and now it’s taking that to another level. Beijing has just declared Security Token Offerings, or STOs, illegal. Beijing Bans STOs So for those who may be unfamiliar, an STO creates an investment offer by tokenizing stocks or bonds and putting them on a blockchain. An ICO raises funds for a company by selling tokens to the public. However, an STO gives holders stocks or shares in the…

Japan’s Financial Regulator to Introduce New ICO Regulations

Japan’s financial regulator is set to introduce new Initial Coin Offering (ICO) regulations to protect investors from fraud, local news outlet Jiji Press reported Dec. 1. According to “informed” sources cited by Jiji, business operators conducting ICOs will be required to register with Japan’s Financial Services Agency (FSA). The agency is reportedly planning to submit bills revising financial instruments, exchanges and payment services laws to the ordinary parliamentary session that starts in January. This action has been undertaken “in view of a number of possibly fraudulent ICO cases abroad” as…

SEC Charges DJ Khaled and Floyd Mayweather for ICO Promotions

Nobody gets away with fraud in the SEC’s eyes. The latest pair to be hit with SEC charges include pro-boxer Floyd Mayweather and music producer DJ Khaled. SEC Charges Mayweather and Khaled The Securities and Exchange Commission charged the pair with the improper promotion of initial coin offerings or ICOs for cryptocurrencies. Neither party revealed to investors that they were, in fact, paid large sums of money to promote certain ICOs. According to CNBC, a settlement announced Thursday disclosed the charges. According to the settlement, Mayweather never spoke of a $100,000 promotional…

US SEC Chairman Clayton Keeps Quiet on ICO, ETF Regulation Updates

The chairman of the U.S. Securities and Exchange Commission (SEC) Jay Clayton reiterated the regulator’s strict stance on Initial Coin Offering (ICO) compliance in fresh comments to CNBC Nov. 26. Speaking in an interview with CNBC, during which presenters mentioned the recent enforcement deals with ICOs Paragon and Airfox, Clayton underlined the need to conduct public token sales with U.S. consumers in line with SEC guidelines. “We’ve had no ICOs register [with the SEC],” he told reporters, adding: “To the extent that an ICO is being conducted offshore or pursuant…

ICO Issuers Settle Registration Charges With SEC

The U.S. Securities and Exchange Commission (SEC) has agreed to settle charges with two startups that sold tokens through Initial Coin Offerings (ICOs) in 2017. The companies were charged by the SEC for running their ICOs after the regulator clearly defined such offerings as unlicensed securities in its DAO Report of Investigation. The startups indicted by the SEC are Boston-based Airfox, which sold $15 million worth of tokens, and Paragon Coin, which raised $12 million selling tokens.  “We have made it clear that companies that issue securities through ICOs are…

Fraudulent South Korean Exchange Pure Bit Nabs $2.8M in ICO Exit Scam

A South Korean ICO has defrauded its private sale investors out of roughly 13,500 ETH ($2.8 million) before disappearing from the internet entirely. Pure Bit, which has already pulled the plug on its website, has apparently conducted a fairly routine exit scam for its Pure Coin token sale. The cryptocurrency was pitched as an exchange token for Pure Bit, an exchange that was supposed to launch by the end of the month. The Coin  promised to give investors shares of the exchange’s trading revenue as well as discounted fees for trading,…