Category Archive : Crypto

Classifying Crypto Securities, Utility Tokens, and Currencies

The cryptocurrency market has given entrepreneurs a novel and potent method of raising funds: Initial Coin Offerings (ICOs). Representative of the modern trend of crowdfunding-based model, ICOs are often seen as a double-edged sword; powerful and profitable as fundraising mechanisms, yet riskier given the ease with which they can be executed. The period between 2017 and 2018 is proof of this fact, where the number of new token sales more than doubled from 966 to 2,284. 

Even though ICOs have now become the go-to fundraising mechanism for startups in the blockchain space, there are a plethora of terms that tend to confuse new investors. A Security Token Offering (STO), for example, is a very specific kind of ICO that involves a great deal of regulatory compliance for both, the startup and any potential investors. Nonetheless, ICOs have become a prominent development in the cryptocurrency space of late.

In the following sections of this article, let’s explore the various types of cryptocurrencies – security tokens, utility tokens, and currencies.

The Three Main Types of Cryptocurrencies

1. Security Tokens

In the world of traditional finance, ‘securities’ refers to any financial instrument that holds a value, such as stocks, bonds, and options. Broadly speaking, securities can be categorized as either equity or debt. Any asset that passes the US Securities and Exchange Commission’s “Howey Test” is considered to be a security. The Howey Test includes four criteria that must be fulfilled, namely that:

– There is an investment of money

– There is an expectation of profit

– The investment of money is in a common enterprise

– Any profit comes from the efforts of the promoter or third party

The Securities and Exchange Commission (SEC) developed this test and indeed, it has been involved in cryptocurrency conversations as of late. If any one of these criteria isn’t met, then the asset may not be classified as a security.

The implication of a cryptocurrency being deemed a security is chiefly that securities come with additional regulation that may be difficult to handle for the security issuer. That said, there have been several token offerings that operated entirely within the realm of legality.

2. Utility Token

Utility tokens are fairly self-explanatory. These tokens are not intended to be used for payment or act as a security. Instead, they are commonly developed specifically to facilitate the services of a platform or service. A cloud computing blockchain network, for instance, could use a native utility token to pay for additional resources. Generally, in a utility token, there is little expectation of profit or loss.

This type of tokens can be compared to vouchers or points offered by businesses that permit the (sometimes discounted) use of a platform. Whether or not the price of these tokens go up is incidental – but you can see how this may make the classification of the token a difficult prospect for regulators.

3. Currencies

This was the original intention of the cryptocurrency revolution, as is evident by Bitcoin’s whitepaper that describes it to be “A Peer-to-Peer Electronic Cash System”. 

While Bitcoin is also referred to as a store of value, ala Digital Gold, it is largely considered to be a means of exchange, replacing fiat currencies thanks to its several innate advantages. It is regarded by a growing number of regulators worldwide as a currency, even if its price tends to fluctuate more than its fiat counterparts.

Definitions and Classifications Remain Hazy

While the space is rapidly obtaining regulatory clarity and legitimacy, it is still far from mass adoption. Consequently, the market is also far from having rules and a universal understanding that clearly delineates different types of tokens. This has become a major talking point among lawmakers and institutional investors of late.

Given the continuing development of the space and the creation of new investment vehicles and technological offerings, it is entirely possible that a token may be seen as a security token by one regulatory entity and a currency or utility token by another. The debate surrounding whether Ethereum and Ripple are securities highlight the difficulty in classifying cryptocurrencies.

Despite this challenge, an increasing number of regulators and investors across the world are warming up to the idea of cryptocurrencies, both as an asset class and as a revolutionary technology. Just as any other emergent field, it is reasonable to expect proper categorizations and accompanying regulation to be formed and enforced in time.

The Evolution of Slot Machines

You cannot talk about casino games without a mention of slot machines. They are the most popular in casino games whether offline or online. There are thousands of slot machine games so a player has a wide variety of choices to make.

Slot machines have a beautiful history – something we are going to visit in a jiffy. This aspect of casino games has evolved over the years to what we have now.

 

The earliest traces of slot machines would take us late into the 19th century when Sittman and Pitt (a company based in New York) built it in 1891. It was built to hold 50 cards with 5 drums and usually placed in bars.  

Whilst winning against the house was difficult, there were no financial rewards except for free cigars and drinks on the bar. To win, one had to have a lineup of pokers displayed on the reels.

From 1887 to 1895, the world witnessed an upgrade of slot machines thanks to C.A. Fey. His machine was said to be the first to allow auto-payouts. 

Instead of 5 drums of the older slot machine, Fey built his with 3 drums and discarded all other cards leaving just the spades, diamonds, hearts, liberty bell, and horseshoes.

To make higher winnings, one had to deal with a lineup of 3 liberty bells. As such, the machine became popular by the name Liberty Bell. The only problem was that Fey refused to apply for a patent – so several manufacturers stole his design.

In 1902, slot machines were banned but this didn’t impede manufacturers from making more of the machines. However, giving out cash prices became a problem. 

So manufacturers replaced the slot symbols with fruits and a winner would be given a sweet or chewing gum with matching flavor as the one won.

Till 1968, slot machines were quite mechanical – you pull a lever and the reels swing into motion. In 1964, an electro mechanical slot machine was built and was dubbed “Money Honey.”

Although Money Honey was electronically operated, it was started with the familiar lever and it could make payouts of around 500 coins.

Twelve years later, video slots were invented by Future Coin, a company based in Las Vegas. The machine had a display of a 19-inch Sony TV and gained the approval of the NSGC. As the machine became widely used, IGT attempted and successfully bought Future Coin.

In 1996, WMS Industries developed the Reel ‘Em video slot which allows for bonus games and players more likelihood of earning payouts. This game became popular in casinos and made up around 70% of both physical space and income of these game centers.

 

In the ’90s, the internet led way to the development of online casinos and hence, online slots. At first, these online slots had the same theme and symbols as the land-based game centers. 

However, programming and improving computer graphics have now turned things around and we can see several slot structures, symbols, and layouts. These are way different from what we know in the beginning but share the same techniques.

Casinos that accept Bitcoin and other cryptocurrencies started emerging and players embraced them because of so many benefits. They can now enjoy lower fees, better security, and better accessibility.   

Bonuses are no longer a strange concept in online slots and casinos generally. Several punters take advantage of them to improve their bankroll. 

These bonuses also help to play free games whether you’re playing in cryptocurrency casinos or regular ones. Other top trends in cryptocurrency casinos include high security and fast payouts.

Slot machines will continue to evolve. The best operators are trying their best to stay on top of the trends. This will enable them to offer their teeming customers excellent service from time to time. 

My personal experience with Algowave AI Robots

Algowave AI Robotics is a trading prediction system that combines AI technology to provide up to the minute trading opportunities. After years of investing in the artificial intelligence behind human behavior, Algowave has developed an advanced robot that trades only when recognizing profitable monetary opportunities.

Algowave more specifically is an API that integrates with your Binance account to provide real-time trading opportunities 24/7.  Algowave uses real-time market predictions based on social physics. Focusing on a massive data set of human behavior, or rather a prediction oriented application. Algowave AI uses professional analysts along with the AI robots to provide trading opportunities in the cryptocurrency market.

Getting Started with Algowave.

Algowave utilizes Binance.com, a virtual currency exchange platform, to leverage their trading AI-Algo. This means in order to utilize the advanced AI-Robotics from Algowave for trading, you will need to create an account and deposit money into your Binance account, allowing you to purchase various crypto-currencies.

After depositing funds into your Binance account, you will need to select the settings tab on Biannce.com to find the ‘API Management’. This will allow you to integrate your account with the Algowave API. If you have not done so already, you will be prompted to dual authenticate your account. Afterword’s you will be able to integrate with the Algowave AI. Once you have created your API (I named my Algowave) you will want to save the two keys to somewhere safe on your computer, you will need these again in a minute.

Need help creating your API? Follow the steps Here!

After obtaining your API keys from Binance it is time to head over Algowave AI Robotics and create yourself an account. After the account creation process, you will now have access to several trading strategies that can be incorporated into your crypto trading.

The last step is to send those API keys you obtained from Bianance.com to the team over at Algowave AI to finalize the integration with the Algo trading strategies. After sending the API keys to the team at Algowave, you will receive a confirmation email with all the details. After finalizing the confirmation email, Algowave will begin to build the trading strategy specifically for your account and will begin trading.

My experience with Algowave!

Creating the Binance account and integrating with the API is a bit of work and getting started can feel like a burden, but after using the platform for a few weeks, the investment is starting to pay off.

When I first started with the Algowave trading platform I utilized only a small amount of money ~ 1k USD. I invested in one or two crypto-currencies and let the API run for a week. In that week I made only a small return on my account. Doing some research and speaking with the Algowave team I invested more money and bought a larger variety of cryptocurrencies. Letting the Algowave AI do its thing for another week, I was surprised by the amount I made. Even with the fees charged by Algowave. I was coming out ahead and actually making a little extra money. 

Algowave is continuing to grow and improve on their AI-Robotics. They have an app and a website that can be used to monitor and modify your strategies. As an individual who trades mostly equities, Algowave has allowed me to expose myself to the cryptocurrency market and allowed the account to trade itself. At this time the only thing I can see hindering your experience with Algowave AI-Robotics is the transaction cost of trading the currency on Binance.com and the settlement of your trade. These obstacles are out of Algowave control, but if they can provide a solution to this hindrance, they could see additional interest in their crypto-currency trading AI. Overall my experience has been pleasant. 

TRISTAN HAMM – Tackling Mental Health Through Adventure


Revived Outdoors is an adventure company that provides individuals with the chance to enjoy individualized and unique traveling opportunities. The company employs a combination of the most skilled guides, a rich culture, and a unique curriculum to give guests the best possible experiences.

Found by Tristan Hamm, an avid traveler and nature lover, Revived Outdoors aims to improve the mental health of its clients while making them a part of a rich and diverse community. The company has been able to achieve this aim quite remarkably as there are instances of people who have had their mental health drastically improved by one or more of the experiences they have partaken with the company. One particularly striking example is the case of a young lady who had been battling drug abuse-related depression for years but was “revived” on the very first experience she had with the company. It was this case that gave the company its name “Revived.”


The importance of outdoor adventures, particularly those that are undertaken in natural environments, cannot be overemphasized. Revived Outdoors harnesses the calming and healing virtues of outdoor adventures to help improve the mental health of its clients and not just improve their mental health alone, but also eliminate their stress levels while making them part of a new community.

A lot of people cannot find the time to go on adventures or the right people with whom to go on adventures. Revived Outdoors makes it easier for such people to have their dream adventure by providing them with a community of like-minded adventurers with whom they can have the best travels and see the world at its most beautiful. The communities where these adventures take place also benefits greatly. The influx of people now and then into these communities helps to create employment opportunities for the locals, and most of all, helps protect the natural landscape of the communities.


The aftereffects of these experiences are long-lasting, and each trip takes the participants on sensual and lively experiences with nature all around them. The guides employed in the company are skilled and know the A-Zs of guiding people on such adventures. Clients that make use of Revived Outdoor’s services range from stay at home moms to seasoned adventure enthusiasts. The company has a goal, which is to convince people to believe in themselves as they can achieve whatever they wish to achieve. 

follow Tristan on Instagram – Instagram.com/tristan.hamm and Instagram.com/revived.outdoors then head over to our website www.RevivedOutdoors.com and join our exclusive newsletter! 

How to Make Money with Bitcoin Pro?


Bitcoin

The Bitcoin Pro software is one of the best recommended Software to make money online and to earn income through effective resources. From online money trading resources, Bitcoin is one of the best and quick responding online money-making resources which enables the users to adopt the latest technology tools to become proficient. The Bitcoin Pro software is available free and can be easily accessed from lots of reliable resources. In financial markets, Bitcoin considers one of the best recommended online money-making resources to know about the best action plans to which are completely virtual. The profits in the digital wallets can be increased due to having interests and the values to meet with the priorities and the trusts of the people to make sure how to get satisfaction and confidence to enable yourself to meet with your objectives through efficient planning. Digital coins are considering the modern source of money trading platforms to get instant solutions and to meet with the trusts of the investors. Become millionaires by investing in online Bitcoin money trading business and get your full confidence to earn money from it.

Become millionaires by investing in this popular Cryptocurrency because online platforms have lots of user-friendly interfaces that appreciate the tools and the recommended features to earn money efficiently. Now investment in Bitcoin and other Cryptocurrencies has become a passion for traders, investors and business people who know the value of the digital currency and have acknowledgment to get the income plans on behalf of the best responding resources. Having detailed acknowledgment about Bitcoin Pro Official Site is the best-featuring ideas means having useful acknowledgment about the digital source of income. By sign up and activate your account, any interested person can access to become proficient and expert to make money on behalf of the best legendary resources. Find a trading opportunity online and spend your best time to know about the actual facts which can greatly influence the demands of the digital currencies. Making real money is possible with the help of online Bitcoin money trading to increase the maximum amount.

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Can You Trade Cryptocurrencies Using a Forex or CFD Platform?

To give you a clear and short answer – cryptocurrencies can be traded on Forex and CFD platforms. But things are not as easy as trading regular currencies, as there are a couple of things that you have to take into account before trading crypto on CFD/ Forex platforms.

Therefore, in today’s article, we’ll take a look into the things that you need to know if you want to trade cryptocurrencies using a CFD or Forex platform!

 

Crypto Trading on CFD/ Forex Platforms

First of all, it is worth mentioning that you won’t have a hard time finding a Forex/ CBD platform that you can trade cryptocurrencies on, as many MT4 Forex brokers offer BTC/ USD for trading, for example.

Even if crypto may be a newcomer in the trading world, Forex brokers were quick to implement it as a trading option, given its quick increase in value and popularity. 

Now, let’s see how cryptocurrencies are traded on such platforms:

 

  • Most Forex and CBD platforms trade cryptocurrency contracts for difference. Basically, the trader gets into a contract with the one providing the CFD on an underlying asset. While the derivatives are based on price movements, they do not actually involve cryptocurrency ownership exchange
  • Given that no cryptocurrencies are actually being exchanged, wallets and addresses are not used either. As such, there are no hacking risks.
  • One can make a profit from cryptocurrency trading on CFD/ Forex platforms in two ways. One, if they have a Buy Position and the cryptocurrency’s sell rate increases above the opening buy rate, or if they have a Sell Position and the cryptocurrency’s buy rate falls below the opening sell rate. 

 

Comparison with Exchange Trading

For someone used to exchange trading that wants to get into crypto trading on CFD/ Forex platforms, it is essential to know the main differences between the two types of trading.

  • As mentioned, no digital cryptocurrencies are being exchanged in the transactions.
  • You don’t have to own a cryptocurrency wallet to engage in trading.
  • Cryptos are traded under the terms and conditions set by the CFD/ Forex provider.
  • Cryptocurrency CFD trading is leveraged.
  • Forex and CFD platforms allow you to trade crypto-fiat pairings (LTC/USD, BTC/USD), unlike most crypto exchanges that allow only crypto-to-crypto trading.
  • Deposits and withdrawals are made using only fiat currencies. 

Furthermore, a trader that has traded CFDs or Forex on any MT4 platform will understand how cryptocurrency CFDs are traded easily, as such trades are listed like any other CFD instrument within the platform.

 

The Bottom Line

Overall, you can trade cryptocurrencies using a Forex or CFD platform – but there are a couple of new things that you have to learn, as well as several things that you have to pay attention to.

For example, regulation changes and cyberattacks can significantly impact the movements of cryptocurrency – besides news related to hard forks. This is why you must always be up-to-date when trading cryptocurrencies via a CFD or Forex platforms, as you may never know if the market will move in your favor.

Want to invest in the Cryptocurrency Market? Here’s what you need to know! 

With the exponential growth of the cryptocurrency market, it has become a popular investment option for people around the globe. Using the blockchain technology, cryptocurrency has the potential of changing the lives of people for the better. This is why Uzidata has designed a platform for the blockchain community where they can stay updated with all the information & analytics of cryptocurrency. But investing in crypto is not such an easy task. Apart from the huge growth potential, there are other important factors that you need to consider before investing in cryptocurrency. Some of the important things to consider include: 

  • Volatility of Cryptocurrency

Crypto-currencies are highly volatile as the values fluctuate between extreme ups and downs. While there can be an unimaginable rise in the value of cryptocurrency, there can also be extreme price drops just the other moment. The volatility of the market makes it more exciting and even offers opportunities to the traders to make good profits. Though the risks are high, having an effective risk management strategy can help in dealing with the situation better.

When you are planning to explore the cryptocurrency market and make investments, it is essential to spend some time in doing thorough research. Before investing your hard-earned money, it is wise to understand the meaning of cryptocurrency, blockchain, security measures, and more. Getting updated about technology, regulations, investment strategies, and other important aspects can help you understand the market better and make smart investments.

Knowing the amount to invest in cryptocurrency is another important factor to consider. Being a volatile market, the chances of gains, as well as losses, are very high. It is always advisable to invest money that you can afford to lose. Investing such amounts ensures that in case of a loss, your life will not be affected much. Making smart decisions not only avoids unwanted consequences but also helps in remaining in a profitable situation.

Before investing in the cryptocurrency market, it is also important to determine the total market cap of the particular cryptocurrency that you wish to invest in. Solely relying on the unit value for determining the growth potential is not the right way. Instead, analyze the total capitalization as well as the increase in capitalization of the cryptocurrency for better insights.

Investing in the cryptocurrency market can enable you to make money or lose money, or at times your investment remains constant. In such a situation, tracking your funds becomes important. While tracking seems to be complex and difficult, the tracking tools can help in making the task easier. With a wealth of information and reports, the tools help in easily tracking your investments in the cryptocurrency market.

While planning to invest in cryptocurrency, it is also important to choose a reliable and secure platform. Investing in any random platform without detailed research can increase the risk of your investment. In order to avoid potential scams or frauds, considering doing some good research and investing through a trustworthy cryptocurrency platform only.

Considering the above aspects can help in making good investments in the cryptocurrency market and making easy profits. With smart decisions, making the best investments in cryptocurrency becomes possible. But for taking the right decision and framing strategies, you need the correct and the most updated info. This is where platforms like Uzidata come in, with their brilliant database. The aim is to deliver a safe ecosystem to the community where they can access all the updated info and even get engaged in the conversations regarding the various bitcoins. 

Right from the first, they have been aiming to revolutionize the way people search for information when it comes to anything related to blockchain. What makes Uzidata so unique is the fact that it serves the community irrespective of the role you play in the industry. Here are some of the features that you can expect from Uzidata once you log in.

  • Market screener
  • News aggregator
  • Real-time alert
  • Data analytics 
  • Live community
  • Portfolio tracker
  • KOL private discussion
  • Rewarding games

So if you want to be an expert on cryptocurrency before you start investing make sure to try out Uzidata first! 

The struggle & success story of the legend of the music industry – Emmanuel Almonor

Haven’t heard of Emmanuel Almonor yet? You must be living under a rock till now! Emmanuel has been all over the media in recent times due to the groundbreaking success of his Record Label. 

Right from an early age of 17, Emmanuel strived to be a successful person and had big dreams. Unlike others, he didn’t simply dream big but worked hard day and night to make those dreams a reality. But it’s easier said than done. He didn’t have the resources and neither the skills required to make it big in any industry. So he chose the best option that he had, which is working hard towards his dreams with whatever little he had at that time. That’s how he started working two jobs at the tender age of 17. Gradually he picked up more minimum pay jobs to make ends meet. There was almost nothing that this amazing young guy couldn’t do. Right from making Hollister & other clothes to repairing Xbox and other electronic items, he did everything. 

Working many jobs 

People at work and even friends would fondly call him Manny and the reason why everyone admired him so much is the fact that he was always ready to try something new. Even at such a young age there was almost nothing that could make him say no. He welcomed every opportunity in his life and hoped to learn something from every job that he took up. Maybe this led to him becoming such a multi-talented person later on in life. 

Rising from the ashes 

Things were going this way until one day the manager of AT&T met him somewhere and was taken aback by his convincing nature and stunning personality. He immediately offered Emmanuel a job at the sales department and that was his first step in the industry where he learned all the tips and tricks right from the experts. Soon he became a professional and was declared to be in the top 10 employee list. Then came the very first promotion of his life which left him overjoyed but things took a turn for the worse when most of his employees left and the entire store was managed by him single-handedly. 

After working double shifts like this for a while, he got multiple promotions and became the district manager. All this time when he was doing everything at the store by himself, he learned a lot about the different business techniques which would not have been possible otherwise. So you can say, to some extent, all those years at AT&T have made him what he is today. 

Becoming a legend! 

Soon after, he met someone who was insanely rich at a poker club and found out that he had a call centre. This intrigued him and he decided to leave everything & become a successful businessman and fulfil all those dreams he had as a child. It didn’t take long for him to launch a chain of businesses in various industries, including income tax, phone, car wash, lawn care, daycare, real estate, Amazon store and many more. Today, he has a globally renowned music label – The Omega Music Marketing which works closely with tons of internationally acclaimed artists & producers like London on the track, Migos, Gambino and many others! Hopefully, we will get to hear more of Omega Music Marketing in the coming years. 

Australia introduces a roadmap to blockchain adoption

Australia is embracing blockchain technology and is on a mission to make the most of this innovation. While the country is still one of the hubs for blockchain, there is still a lot to be done on the government’s part, to make sure that the adoption rate keeps growing and the services across the spectrum make good use of the innovation.

The fact that blockchain will inevitably become an integral part of contemporary society is indisputable, meanwhile, though, every country that wants to maintain a technological edge is trying to maximize the gains and improve the existing state of the blockchain. The technology is getting attention from all around the world and the unexplored potential of this innovation could drastically improve a lot of businesses and services, making them faster, more transparent and most importantly – profitable.

Blockchain is already a huge part of the Australian day-to-day services. The country’s love for crypto is well known and Aussies have embraced different sorts of e-Wallets, using them almost as often as traditional payment methods. Accepting blockchain-based crypto payments is a common thing in the country, gaining more popularity than in any other place in the world. Many entertainment centres, such as shops and online casinos in Australia accept crypto payments and are specifically catered to that group of consumers. They have become an essential part of Australia’s financial industry, and now the country is looking to expand the benefits of blockchain technology.

 

National Blockchain Roadmap

Recently, the Australian government introduced a 32-step guideline that is supposed to help the country on its journey to fully embracing blockchain technology, in order to generate more income for the country. The National Blockchain Roadmap is a detailed description of the government’s plan of making blockchain more profitable and mainstream. 

The roadmap is a 52-page document that was released by the Minister for Industry, Science, and Technology with help from industry experts and universities, who formed an Advisory Committee. The Australian government wants to use blockchain for international investments and collaborations, to enhance the skills, capability and innovative movements and hopes to work on and improve its existing regulations and standards when it comes to blockchain technology.

 

Importance of regulations

While many discussions centre around blockchain technology, when it comes to regulations, most of the country is still figuring it out. Since the nature of blockchain is something completely new to the regulatory bodies, they often find it hard to strike the right balance between security and freedom. This new roadmap hopes to create an ecosystem where blockchain technology thrives and where its capabilities can be fully explored in a safe and regulated environment.

As mentioned in the National Blockchain Roadmap, Australia will focus on supporting global supply chain management systems and will further look into the tracking of assets through blockchain. The decentralized aspect of the technology is what makes it so popular, and it also represents the main commitment on Australia’s part to embrace this approach and promote decentralized management and distribution. Transitioning towards blockchain-based management could save a lot of money and improve customer experience. There are, however, new challenges that most people haven’t had a chance to deal with yet. The need for identity checks and security has never been so high. The regulations regarding the legitimacy of blockchain platforms need to be altered to ensure the quality of these services and information is maintained through and through.

 

The Blockchain capital

Australia has ambitious plans to become the global leader in the digital economy, in a ten-year period. Their efforts, when it comes to blockchain technology, have served as a testament to their commitment to this long-term leadership goals.

Ths roadmap has 12 steps that need to be completed by 2025, and the committee will provide support and advice for anyone who wants to get into this industry and is willing to contribute to the long term goals of the Australian government – concerning blockchain adoption and utilization. The committee will provide accessible information about the existing government programs, making services more popular.

This roadmap is one of the first of its type in the world. The countries are mostly hesitant to prioritize this technology and focus so heavily on development and adoption levels. 

New ICO’s Need to Hurdle the US SEC

The initial public offering of digital coins known as ICO’s has slowed slightly over the past year as
investors are now more aware of the potential issues that could arise from these offerings. Any capital raise related to digital coins that occur in the United States, need to be reported to the US Securities and Exchange commission. A recently as January of 2020, two ICO’s that were completed in 2018 were changed with fraudulent sales of unregistered digital asset securities. The SEC says that any token sales that are sold to US residents and not registered with the SEC remain in violation of federal securities laws. In January the SEC issued a warning to investors stating that companies and individuals should veer away from participating in initial coin offerings.

Charges are Rising Faster than ICO’s

Federal charges levied by the SEC are rising at a pace that is likely faster than new ICOs. According to CoinDesk, during the period 2016 and 2020, the SEC filed charges against 27 completed ICOs. This number does not include ongoing investigations or the cases that have yet to publicly disclose settlement terms. To help avoid charges, the SEC has proposed safe havens for companies launching token sales for blockchain network growth.

SEC Plan for ICO’s

The SEC proposal focuses a grace period that would provide time for a new token to decentralize which would also allow the ICO team to provide the necessary documentation and programing disclosures. This gives the ICO group an opportunity to provide the information that the SEC would be requesting for an ICO. Groups that plan to launch a token and do not want to go through this process are sending up a red flag. The decentralization process allows a token enough time that it would move away from being considered a security on the SEC definition. Many believe this a very good proposal and could lead to addition assets moving onto a digital token platform.

The White House Wants the Treasury to Have Oversight

In early February the White House released a copy of its fiscal year 2021 budget that was an eye popping $4.8 trillion. Withing the documentation the budget proposes that the US Treasury Department gains oversight over crypto currency by returning the United States Secret Service, now a division of the Department of Homeland Security, to its jurisdiction at the US Treasury. Currently, the US Secret Service has the responsibility with the protection of US currency. Secret Service’s cryptocurrency investigations could work in conjunction with the US Financial Crimes Enforcement Network (FinCEN), which currently monitors cryptocurrency-related violations. While the concept of this proposal seems like it would enhance the US government enforcement efforts, the proposal for the budget is a long way from beginning a law in the US. Proposals do not provide the backdrop for a change in the way ICOs are regulated.

Take Away
The US government has seen enough issues related to ICOs to push forward with new ways to help investors avoid cryptocurrency fraud. The SEC enforcement actions continue to accelerate, with most of the issues that have already occurred during the 2017-2018 period. The SEC has provided a safe-harbor period, and states that any effort to raise capital for a new cryptocurrency that is not registered with the US SEC is illegal. In addition, the Trump Administration is attempting to wrestle further oversight of cryptocurrencies by bringing the US Secret Service back to the US Treasury Department and away from its current home at Homeland Security.