SEC Goes After Token Scammer

The SEC has brought what appears to be its first charges against a company utilizing the initial coin offering (ICO) fundraising model.

In a press release issued late today, the U.S. securities regulator charged two companies and their founder, businessman Maksim Zaslavskiy, with violating anti-fraud and registration provisions of federal securities laws.

Allegedly, Zaslavskiy sold cryptocurrencies backed by assets that did not exist in two token sales, one for a project called Diamond Reserve Club World, and the other for an effort called the REcoin Group Foundation, the SEC said.

https://www.coindesk.com/sec-charges-promoter-two-icos-fraud-says-recoin-no-real-estate/