What are the calculations of the duration of ico? Will the soap bubble burst?

[Erlan1]

hi, everybody



What are the calculations of the duration of ico? Will the soap bubble burst?

[realdeanz]

As a law student, it is apparent that the ICO industry will radically change securities and trusts laws around the world.  It is also clear that because of the vast rot in the current ICO industry, there will have to be some form of SELF-regulation, otherwise, governments will use it as a pretext to try and hold this innovative industry down. Becuase of the simplicity that the icos offer, its relative cheapness and freedom from bureaucratic processes involved in becoming a publicly traded company and the relatively private nature and limitation of liability they offer owners (No fiduciary obligations are Currently assumed insofar as financial disclosures and handling are concerned)  ICOS are here to stay for the long hall!

[HabBear]

What are the calculations of the duration of ico? Will the soap bubble burst?

Duration of what? Most ICOs are complete rubbish...so yea, the bubble will burst.

As a law student, it is apparent that the ICO industry will radically change securities and trusts laws around the world.  It is also clear that because of the vast rot in the current ICO industry, there will have to be some form of SELF-regulation, otherwise, governments will use it as a pretext to try and hold this innovative industry down. Becuase of the simplicity that the icos offer, its relative cheapness and freedom from bureaucratic processes involved in becoming a publicly traded company and the relatively private nature and limitation of liability they offer owners (No fiduciary obligations are Currently assumed insofar as financial disclosures and handling are concerned)  ICOS are here to stay for the long hall!

What kind of law do you practice? I don't think it's given you much insight into investments.

The problem with ICOs is that everyone who's buying into them is just greedy and wants to compensate for not knowing about bitcoin during its earliest days. If someone creates something and says "this has value" it doesn't actually mean that thing has value. Putting money into an ICO that doesn't offer some tangible benefit that's different from bitcoin is no different than playing the lottery...and most people that play the lottery lose.

[realdeanz]

Under securities law, to become a publicly traded corporation, you'd be subjected to a great deal of scrutiny, costs and bureaucracy. Once the community regulates its self through a variety of methods, the relative simplicity of ICOs will make it a game changer for genuine companies to launch and offer their own ICOs (possibly simultaneously with their IPOS)

There is a wild west atmosphere around icos currently, with people believing that they can get away with anything. But give it some time and it'll change.

[HabBear]

Under securities law, to become a publicly traded corporation, you'd be subjected to a great deal of scrutiny, costs and bureaucracy. Once the community regulates its self through a variety of methods, the relative simplicity of ICOs will make it a game changer for genuine companies to launch and offer their own ICOs (possibly simultaneously with their IPOS)

Yes, but ICOs aren't corporations. Securities laws are in place to regulate the investments/securities that trade on Government controlled exchanges. Anything can be publicly traded without regulation, it just can't do so on a government controlled exchange.

Coins (like silver, gold, etc.) are traded daily, none of those coins or the entities involved in the trade have to be regulated to do so.

The comment of yours that I was first referring to is:

As a law student, it is apparent that the ICO industry will radically change securities and trusts laws around the world.  It is also clear that because of the vast rot in the current ICO industry, there will have to be some form of SELF-regulation, otherwise, governments will use it as a pretext to try and hold this innovative industry down.

Securities laws are not going to change because ICOs exist. Trust laws have NOTHING to do with securities laws (or ICOs). The ICO market has been around for a few years, you really feel there is rot? And then you say it's here to stay? Those statements contradict each other.

You state "there will have to be some form of self-regulation"...that's all that exists today! It's something we aspire to, it's the starting point. Without central regulation there is only self regulation.

There is a wild west atmosphere around icos currently, with people believing that they can get away with anything. But give it some time and it'll change.

The cryptocurrency market IS the wild west...it WILL NOT change securities law.

[tavogi.com]

Vitalik wrote a really good article on this subject:

http://vitalik.ca/general/2017/06/09/sales.html

One thing he suggests is having ICOs open for a much longer period of time than is typical right now, up to five years in some cases.

[realdeanz]

Yes, but ICOs aren't corporations. Securities laws are in place to regulate the investments/securities that trade on Government controlled exchanges. Anything can be publicly traded without regulation, it just can't do so on a government controlled exchange.

Coins (like silver, gold, etc.) are traded daily, none of those coins or the entities involved in the trade have to be regulated to do so.

Firstly, many legitimate icos offerings are put forward by companies. Take civic for example 'Copyright © 2017 Civic Technologies, Inc.'. You also seem to ignore the fact that the SEC (who are in charge of enforcing IPO regulations) stated recently that ICO tokens may amount to securities and they will seek to enforce their position in court. I grant that this position is troublesome (mainly because of the international nature of ICOs and the jurisdictional issues not to mention the practical ones) and am in no way endorsing that position, but nevertheless if ICO tokens are held to be securities in court, then logically it follows that ICOs would have circumvented all securities law by being declared a security, at which point, it is likely that Republicans, who control the houses of congress, and who are driven by the deregulation and the small government mantra could easily pass a bill widely reforming securities law to make it more 'competitive'.

Also, the statement that anything can be publicly traded without regulation isn't true in many jurisdictions. If you want to trade property (realtor) u need a license. If u want to sell/store gold or silver over a certain limit, You need to comply with KYC, AML regulations, If you want to trade certain goods, you need licenses.

'Securities laws are not going to change because ICOs exist. Trust laws have NOTHING to do with securities laws (or ICOs). The ICO market has been around for a few years, you really feel there is rot? And then you say it's here to stay? Those statements contradict each other.

What I meant was that it is likely that Trust laws will be made as redundant as the postal rule, if people can store their wealth in crypto form or in tokens, which is likely to happen in the future as the field expands more. Also, the statement is not contradictory because many new industries begin in a state of confusion, Many ICO's are bad but many arent. And if you look at the revolutionary peer to peer tech behind ICO's, it'd be unwise to write it off because of the vast levels of fraud that are present now.

There is a wild west atmosphere around icos currently, with people believing that they can get away with anything. But give it some time and it'll change.

The cryptocurrency market IS the wild west...it WILL NOT change securities law.

I hope i explained how it WILL.

[Mike Mayor]

Bs topic. Try again.

[Hodor7777]

The time of the "wild west" ICO is coming to an end IMO.  I think they will continue, but they'll need to follow some established rules of what constitutes behavior and organization that is "allowed" and what is not "allowed." 

[KBater]

hi, everybody



What are the calculations of the duration of ico? Will the soap bubble burst?

What do you mean by the soap bubble?

Each ICO sets their own terms of release of a coin so it all will be ICO specific.