tdtwedt wrote:A Failed ICO Has Ended Up On eBaySponsy, a decentralized platform that allows sponsors and sponsees to conduct sponsorship deals, was expecting to raise millions of dollars in late 2017, even though it didn't have a product. The founder told the Financial Times that it was the norm for a company to raise tens of millions of dollars without a real product during the Great Crypto Bubble of 2017-2018. However, the company's lawyer advised Ivan Komar, the founder of the platform, not to ICO before a real product was built. Komar said that listening to his lawyer was the greatest mistake he made.
Maybe, maybe not.
SEC is looking at all ICOs in 2017-2018, and if they apply the "Howey Test", a lot of the ICO operators might be charged with security fraud violations, prison, and stiff fines. The primary job of the SEC is to protect small investors.
BTW....I live 5 miles from Howey. What a mess of a beautiful plot of land.