The U.S. Securities and Exchange Commission (SEC) has issued a “no-action” letter to TurnKey Jet, Inc., in whick it agrees that tokens that are used by the business-travel startup are not securities.
Gladius Network LLC self-reports to the SEC for overseeing an unregistered ICO enabling them to avoid penalties provided that they pay all the investors who request for a refund.
The crypto-darling SEC commissioner Hester Peirce is explaining delays in a regulatory toolset for token offerings as she mobilizes financial authorities to work on a deliberate approach to digital assets.
Good news for blockchain token projects concerning their ability to bypass U.S. securities registration requirements. While before they had to stand in the queue to fill out all the documents, now they can obtain so-called no-action letters from the SEC.
Jay Clayton said that ICOs should willingly follow securities laws which ensure higher protection of customers’ funds while eliminating fraud and manipulation.
The ICO market has exploded in the last two years attracting an ever-rising number of fraudsters. A SEC official now believes that international cooperation is crucial to bring the scammers to justice.
The notorious SEC does not truly kill ICOs in fact, the two regulations issued back in 2015 allowing companies to secure between $1 million and $50 million.
The new guidelines will help developers and crypto entrepreneurs to determine is their tokens are classified as securities or not. They can also seek help from the SEC FinHub.