The United States Securities and exchange commission has recently announced the launch of its Cybersecurity unit whose primary responsibility is to combat all forms of cyber-related threats and protection of retail investors. As stated in a press release on SEC’s website www.sec.gov/news/press-release/2017-176, some of the operations of the cyber unit include clamping down on market manipulation schemes with false information spread through electronic and social media, violations involving distributed ledger technology and Initial Coin Offerings.
In line with the above, the SEC in its first clampdown operation against illegal ICOs has on Monday ordered an emergency freezing of assets of the founder of PlexCoin ICO, Dominic Lacroix, and his firm, PlexCorps. According to the SEC, the alleged Plexcoin ICO fraud raised up to $15million from investors in the U.S and other parts of the world by promising investors an ROI of over 1300% within 29 days.
As reported by MarketWatch, the SEC chairman, Jay Clayton has made it categorically clear that accounting disclosures and securities laws are the same for Bitcoin. The SEC chairman further reiterated that if ICO founders continue to violate securities laws, there will be stricter enforcement actions against initial Coin offerings.
Speaking at the American Institute of CPAs annual conference in Washington DC, Clayton said:”we have a pretty good body of law, but lawyers need to do a better job of explaining when a bit of code becomes a security.” Clayton further noted that it’s the responsibility of the ICOs to conduct proper KYC operations and also to be money laundering laws compliant. To stress the point, Clayton said money laundering laws are the same whether someone plunks down $100,000 in Bitcoin or $100,000 of cash to open an account or pay for a transaction.
ICO Top Performers of Today
OX Fina – has gained a massive 38% in the 24-hour timeframe and 65% since last month, as recorded ICOAlert.
ChainLink – sits at the number two spot with an ROI of 29% in the 24-hour timeframe and a total ROI of 91% since last month, with a market cap of $112,584,850 and current price of $0.321671.