Issuers of initial coin offerings (ICOs)
have been avoiding the US for a while, preferring other
jurisdictions and their less onerous regulatory frameworks. The
number of US regulatory bodies play their part in muddying the
waters, but even more confusing is the question of whether an
ICO can be classed as anything other than a security.
Securities and Exchange Commission
(SEC) chairman Jay Clayton has reversed on his initial
reluctance that ICOs cannot be anything other than a security.
He has recently suggested that an ICO could be something
different, which is likely to be satisfying for issuers to
hear. Compliance with securities regulation in the same way as
an initial public offering is a difficult task for a lot of
startup companies and a change could see more ICOs registered
in the US.
The US has federal and state-by-state oversight. The SEC,
the Commodities and Futures Trading Commission (CFTC)