Digital tokens, which used to be considered an unregulated “wild west”, are now facing Federal and State regulations. Over two weeks, the SEC suspended trading in company securities of three publicly-traded blockchain-related businesses. The SEC followed up the suspensions with releasing an Investor Alert advising investors to be cautious of companies that have been subject to a trading suspension. Companies that intend to issue digital tokens through an ICO need to be vigilant in ensuring that their offerings are clearly outside the scope of or fully compliant with the securities laws and regulations. To learn more click here.
