''Everybody's doing it.'' ''No one's getting hurt.'' ''You're ruining all the fun.''
Those retorts sound like the arguments a teen makes when her parents forbid her from attending a concert or a party. They're also what some attorneys are hearing when they counsel startup founders itching to raise capital through an initial coin offering (ICO).
ICOs are unarguably a fast and effective way to secure money: Sales in 2017 totaled $5.6 billion, Token Data reported, and $1.2 billion of that was raised in December alone. Companies are making headlines for their highly profitable sales of tokens or coins, which can then be traded in the cryptocurrency ecosystem.
Originally published by Bloomberg Law, Securities Regulation & Law Report, 04/30/2018
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