ICOs "Initial coin offerings" present dangers to investors, new challenge for U.S. regulators

in #cryptocurrency7 years ago

The explosive growth of "initial coin offerings," a capital-raising tool that uses bitcoin and other crypto-currencies to fund projects that leverage technologies such as blockchain, has sparked concern among experts who warn that the lack of transparency around the issuance of such coins is a concern for both investors and regulators.

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The Securities and Exchange Commission is said to be taking a hard look at the increased use of such offerings, with the growth of so-called ICOs surging in recent months. The overall value of the coin market is estimated at over $90 billion, and the frenzied activity has fueled a record-breaking rise in the price of bitcoin.

Check out the complete article @ https://www.reuters.com/article/bc-finreg-bitcoin-ico-idUSKBN1942HF