- Almost $50M in ETH stolen in a month
- SEC rules crypto currencies are securities
- ICOs now need securities registration
Cryptocurrencies and Blockchain hold many potential benefits in the economy of tomorrow. Businesses may choose to accept payment in Cryptocurrency as an alternative to credit cards, checks, or ACH. Ethereum is a decentralized computing platform and blockchain. Within Ethereum there is a crypto currency, Ether. There is also a way of issuing smart contracts.
Thieves love anything of value. Almost $50M in ETH has been stolen in multiple incidents. One recent trend is to exchange Cryptocurrency for future services in an Initial Coin Offering. The SEC announced today that ICOs are securities.
The SEC said in its report it has decided not to bring civil charges at the end of its probe into The DAO, but instead use the case as a cautionary tale for the market.
Cryptocurrencies and ICOs are a new frontier. This newness means that risks are still unknown. Where there is great risk there is great reward. Remember to tread carefully in this new territory.