US regulations halting ICO's?

[apex944]

Just saw an email announcement from Cybermiles that they're closing their token sale to US residents and citizens because of the upcoming rulings that provide a risk to their project? Thoughts?

Has anyone else seen other ico's doing this? Does this mean that the SEC is upon establishing rulings very soon? Will this affect ICO's?

[texasman86]

there is some pretty stiff guidance around ICOs in the united states.  If the ICO is for a security, the company pretty much has to do know-your-customer protocols to prevent money laundering. If there is one single case of money laundering in the token sale, the company is basically screwed.  KYC has a high cost, so if the company raising money thinks they can get enough excluding the US market, they will do so and avoid the regulatory burden.

[apex944]

there is some pretty stiff guidance around ICOs in the united states.  If the ICO is for a security, the company pretty much has to do know-your-customer protocols to prevent money laundering. If there is one single case of money laundering in the token sale, the company is basically screwed.  KYC has a high cost, so if the company raising money thinks they can get enough excluding the US market, they will do so and avoid the regulatory burden.

Yea, I see that cybermiles is doing KYC and now avoiding the US market. But it's just for the ico because once they hit exchanges, us residents are good to go. I guess their smart strategy is their global reach especially in the asian markets... I wonder how this affects other ico's though.

[pruvast]

Anyone got at least a half reliable source? This is rather worrying.

[co1ndog]

Just saw an email announcement from Cybermiles that they're closing their token sale to US residents and citizens because of the upcoming rulings that provide a risk to their project? Thoughts?

Has anyone else seen other ico's doing this? Does this mean that the SEC is upon establishing rulings very soon? Will this affect ICO's?

I think of course US is a huge market, but crypto is an open world, and US is only a small part of it which is eager to participate in ICOs but can't join all of them. Serious projects already working with KYC cause they know that it is a must anyway. So, when regulations will come, those who were prepared won't stop their growth.

[Snaic]

While there is no direct threat that the ICO in the US will be banned. So far, these are thoughts and assumptions. Let's hope that in the US will most likely rigid regulation of the process of issuing the original coins, and not its complete prohibition. ICO is still necessary for the development of the crypto currency. And in this country ICO is not exposed to such risks as in other countries.

[styca]

Just saw an email announcement from Cybermiles that they're closing their token sale to US residents and citizens because of the upcoming rulings that provide a risk to their project? Thoughts?

Has anyone else seen other ico's doing this? Does this mean that the SEC is upon establishing rulings very soon? Will this affect ICO's?

US rules are quite strict, but crypto is global so whilst the position of one country can have an effect, it cannot absolutely stop an ICO.
I do think rules are coming soon though, and not just in the US. China will be a big one too.
Regulation I see as an overall positive as it gives crypto legitimacy and will prevent a lot of the scams. It might seem unpleasant, but it has to happen at some point on the road to mainstream adoption.