ICOS HAVE OPTIONS OTHER THAN REGULATIONSDuring the last couple of months, the buzz about regulating ICOs has been increasing. SEC has already ruled over the DAO tokens, China and Korea banned ICOs for an unknown period of time. It even looks like that the Swiss are becoming careful. According to some, the “Wild West” ICO days are coming to an end.
Some ICOs are actually looking for a way to overcome regulations in different countries. It includes dealing with regulations that touch both the ICO and distributed business. There are three legal ways to work around them.
By dividing your tokensThe first option is to divide your tokens into “Security Type” and “Utility Type” tokens. By doing this, the ICOs don’t pop up on the SEC radar. The difference between such coins is the dividend payout.
By buying some freedomIt is possible to buy a company and transfer necessary rights and legal controls, thus dodging the regulations. One ICO that actually did this was Stox – prediction marketplace where token holders can predict the outcome. They announced that they were buying out Commologic, a non-[Suspicious link removed]pany that has an existing gambling license.
SAFTThis stands for Simple Agreement for Future Tokens. SAFT limits the participants in ICOs to “Accredited” or “Sophisticated” investors who can be defined as people with an income of at least $200,000 or net worth above $1 million.
The full blog post with information on ICOs can be found here:
https://icodaily.net/2017/10/06/how-icos-avoid-regulations/ Regarding the topic of "Regulations" What is your opinion, will ICOs get regulated in the near or distant future? At the moment they are in the stage of "Wild West" where people can't do anything about it. Lots of questionable ICOs are popping up and it's getting more difficult to sift them.