Your Virtual Currency Projects and the SEC
Anytime you deal with a regulatory agency, understanding how and why the agency works is essential. When that regulatory agency is the Securities and Exchange Commission (SEC), that understanding quickly shifts from useful to crucial information. Because the SEC can make or break your ICO in the blink of an eye, coupled with the fact that the legal landscape is changing so rapidly, the importance of regulatory compliance is critical to your ICO’s success.
After assessing your project for any potential risks, our team will help you to thoroughly understand what the Securities and Exchange Commission does, why it exists, what it regulates, and how those regulations may impact your business and your fundraising efforts.
Informed Decision-Making is Key
At IBC, our goal is to make sure every one of our clients goes into the ICO process with a complete understanding of the role of the SEC. We want all of your decisions to be informed decisions, which means it is our job to properly educate our clients on the nuances of dealing with the SEC. Our team has the real-world experience to not only cover the broad strokes but to provide the kinds of valuable insight that can only attainable through with years of experience.
Why Emphasize on the SEC?
Don’t worry- you don’t need to be an expert on the legal intricacies of dealing with the SEC; that’s why you’re hiring the team at IBC. Although we will connect you with the lawyers who will take care of keeping you abreast of the latest legal details and regulatory changes you need to make your ICO a success, we want to work with you to build a strong foundation of institutional knowledge when it comes to the SEC. Why? Two reasons: First, the SEC isn’t going anywhere, so the more you know about dealing with them, the better off you will be in the long run. Second, and more importantly, we firmly believe the long-term strategic benefits associated with that knowledge base will help you in all facets of your operations.
Let’s Build a Foundation of Organization Success Together
You need time to operate your business; we’ll take care of the issues involved with creating your ICO, allowing you to focus on the day-to-day needs of your company instead of studying new laws. The experienced lawyers in IBC’s network know how to take care of the SEC-related legal issues involved with creating your ICO. Contact us today so we can start building a foundation of organizational success together.
Cryptocurrency and ICO/IEO/STO Legal Advice
IBC is one of the few companies with the strong reputation and ability to connect you to law firms specializing in virtual currency laws in both the United States as well as numerous international jurisdictions. By making sure you have access to attorneys licensed to practice in the United States, we make it our mission to stay up to date on all of the current and developing cryptocurrency regulations.
The law firms we partner with allow us to offer a wide variety of legal services to help your cryptocurrency project through every stage. From your white paper and press releases announcing your cryptocurrency project to investors, to fundraising and ICO risk assessment, to analyzing favorable tax structures, IBC’s network of independent attorneys can handle any cryptocurrency and Initial Coin Offering legal issues so you can concentrate on what you do best.
Evaluating Regulatory Aspects of Your ICO
Any time you issue new coins or tokens, a comprehensive regulatory check is necessary in order to confirm that all regulations are being fully followed. This includes, but is not limited to, Anti Money Laundering (AML) regulations. IBC will connect you with attorneys to help you verify whether your ICO requires prior authorization from any financial authority; failing to follow these steps can doom your efforts to issue tokens or coins before you even begin.
The IBC-vetted Legal Team verifies if newly issued coins or tokens are considered to be:
(i) Payment Tokens;
(ii) Utility Tokens; or
(iii) Asset Tokens
The lawyers we consult with use the official definitions provided by the Swiss Financial Market Supervisory Authority (FINMA) in order to provide you with all the information you need about the legal ramifications association with your ICO.
In addition to helping you navigate the current legal hurdles associated with any new coin or token offering, the professionals at IBC are positioned at the cutting edge of the rapidly developing regulatory landscape. Our proactive approach is all about keeping our clients one step ahead of both the regulators and other companies in the cryptocurrency space. By serving as the eyes and ears for our clients, we can ensure you will be among the first to know about important legal and regulatory trends impacting you and your business. Contact IBC today to learn how we can use our experience and expertise to make your company stand out in a crowded cryptocurrency market.
U.S. Laws and Cryptocurrency Regulation: An Uncertain Regulatory Landscape
The swift upsurge of the cryptocurrency market has drawn the scrutiny of high-profile regulators worldwide. Some of the more aggressive regulatory agencies include:
- The Securities and Exchange Commission (SEC)
- The Commodity Futures Trading Commission (CFTC)
- The Federal Bureau of Investigation (FBI)
- The U.S. Department of Justice (DOJ)
- The U.S. Department of the Treasury through the Financial Crimes Enforcement Network (FinCEN)
- The Internal Revenue Service (IRS)
This is a list of organizations you do not want to have knocking on your door for any reason. Even if you fully comply with all applicable laws and regulations, the costs associated with undue pressure from regulators can be catastrophic in terms of time, money, and negative publicity. So the question becomes: how do you avoid this nightmare scenario for your company?
Why IBC Stays Ahead of the Curve
That’s where the savvy of IBC comes in. We make it our business to work with leading cryptocurrency attorneys to identify which existing laws and regulations apply to the ICO landscape. Our team tracks the numerous announcements and actions being taken by the SEC as they seek to return the ICO/IEO industry to the confines of existing securities laws. With the near certainty of new laws and regulations being passed in the months and years to come, the ability to adapt to the emerging paradigm shift in economic realities is critical.
Our team has assessed the impending wave of new laws pertaining to the blockchain, cryptocurrency and token ecosystems. Although the stated intentions of lawmakers and regulators all sound altruistic- to foster market stability, increase integrity, and boost investor confidence- there are undeniable unintended consequences. While preventing bad actors from engaging in fraud, tax evasion, money laundering, and other potentially illicit activities are worthwhile goals that will contribute to the overall legitimization of the blockchain community, the heightened scrutiny will have a trickle-down effect on all companies, including yours. And while we all want to see an environment in which blockchain, cryptocurrencies, and token economies can flourish, the road to such prosperity can create obstacles for companies in various stages of an ICO.
State-Specific Regulatory Hurdles
In addition to forthcoming federal laws and regulations, there are also state-specific regulatory issues to consider. The growth of the cryptocurrency sector is prompting state legislatures to enact their own laws, with Arizona, Wyoming, and Vermont among the early adopters. Because state governments tend to copy one another when it comes to broad policy initiatives, we can anticipate that this trend will continue across the United States. However, every state is different, which means that the odds of 50 states enacting the same boilerplate language are slim to none. Our network of attorneys know how to monitor state-specific laws and keep you apprised of all pertinent details relating to your ICO as part of our all-encompassing approach to legal representation.
Keeping Your Company Abreast of the Latest Legal Developments
Some laws you need to consider prior to an ICO are not necessarily set out before you in plain sight. Some federal laws, such as the Federal Bank Secrecy Act (BSA), have compliance implications you may not be aware of based on a quick overview of SEC regulations. The juxtaposition of federal and state securities laws, anti-money laundering regulations, and the plethora of other rules you are must follow make up a complex tapestry requiring eyes trained to catch conflicting language and legal ambiguities. We all know that the legal and regulatory landscape surrounding ICOs is complicated and ever-changing, but knowing the problem exists is only half the battle. The real challenge is knowing how those changes will impact your company on a day-to-day operational basis.
Contact IBC Today
Because all of the independent ICO attorneys in our network are well-versed with regards not only to existing regulations, but prosecutorial actions taken by the Department of Justice, SEC Enforcement Actions, and regulatory actions by FinCEN, we have the infrastructure in place to continuously monitor this dynamic and rapidly evolving environment. IBC’s network of attorneys can help you understand your obligations as you move forward with your ICO, and can provide you with the expert advice you need to safely structure your offering and conduct business in a legally compliant way. Contact IBC today to take the first steps towards the long-term legal partnership you and your ICO deserve.