Judge Rules Kik’s Token Sale Violated US Securities Law
A federal judge has ruled Kik's 2017, $100 million token sale violated U.S. securities law, and wants to see a proposal for refunds.
Increased interest in the crypto space will necessitate a more accommodative stance, the commissioner predicted.
While Peirce steered clear of commenting on specific DeFi projects like SushiSwap, she pointed out that issuers of governance tokens do have to think about how they share characteristics with equities.
Kik will pay $5 million in penalties as part of a proposed settlement with the SEC, which sued the messaging app last year.
John McAfee allegedly received $11.6 million in bitcoin and ether for pumping ICOs in 2017 and 2018.
SEC Chairman Jay Clayton expressed an openness to a tokenized exchange-traded fund.