U.S. Finance Regulators Taking Hard Look at Cryptocurrency Regulation – Expect Action Soon
January 14, 2018 | Back to News
David Silver, Founder of Silver Miller, has been saying it at conferences at which he was asked to speak. He has written it in op-ed pieces he was asked to write. The days of anonymous and autonomous use of cryptocurrencies will soon be coming to an end, and fraudulent or non-compliant Initial Coin Offerings (ICOs) will be exposed and disciplined, as government regulators focus more closely on the cryptocurrency world and determine what measures will be implemented to watch over financial markets to better protect investors and consumers.
Earlier this week — just as David has been predicting — U.S. Treasury Secretary Steve Mnuchin announced that the Financial Stability Oversight Council, a government body that assesses financial system risks, has formed a working group focused on cryptocurrencies. According to Mnuchin, “we are very focused on cryptocurrencies. We want to make sure that bad people cannot use these currencies to do bad things.”
Mnuchin’s announcement echoes comments made by other high-ranking financial regulators, including Joseph Grundfest, a former Commissioner with the U.S. Securities and Exchange Commission, who recently called ICOs “the most pervasive, open and notorious violation of federal securities laws since the Code of Hammurabi. It’s more than the extent of the violation. It’s the almost-comedic quality of the violation.” The sound of regulatory footsteps are growing louder, and that sound will only increase as time advances and bad actors in the crypto world continue to inflict harm upon investors.
Silver Miller — the leading cryptocurrency investor law firm in the country — currently represents the victims in class/group action lawsuits against multiple cryptocurrency exchanges (Cryptsy; Coinbase; Kraken) for platform-related failures and is prosecuting class action suits across the country against start-up companies Tezos, Monkey Capital, and Giga Watt for having sold newly-created, pre-functional tokens in unregistered Initial Coin Offerings (ICOs) that violated federal and state securities laws. If you have invested over $100,000.00 in an ICO, are concerned that your holdings at a cryptocurrency exchange are in jeopardy, or fear that you have been defrauded, contact Silver Miller for a no-cost, no-obligation consultation to discuss your legal rights.