600 million dollars blow to AriseBank Founders and Investors as Securities and Exchange Commission halts all operation
The Securities and Exchange Commission (SEC) continues its crackdown within the cryptocurrency space, latest on its list appears to be AriseBank, the cryptocurrency that offered to be the first of its kind "Decentralized Bank". The cryptocurrency project generate a lot of excitement within the cryptocurrency community with the potential offering of a variety of consumer banking products and services using over 700 different virtual currencies. The Initial Coin Offering attracted over 600 millions dollars of its 1 billion target to get the project off the ground. Its co-founders Jared Rice Sr. and Stanley Ford now have to answers SEC investigators as it is seen as a scam operation and breach of several securities laws.
Here is the full report from Securities and Exchange Commission (SEC)
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Here is the link to the press release from SEC
https://www.sec.gov/news/press-release/2018-8
What are your views on these developments, this project in particular have been relatively transparent and a project like this is imperative for cryptocurrency development moving forward?
One issue worthy of note, "promise" seem to be a word that regulators are quite edgy about and offering these "promises" within the United States seem to attract a lot of regulatory eyes. 2017 was the year of "Initial Coin Offering", raking in millions for developers but with the abundance of scams and 'scheming operation' would good and legitimate projects suffer in 2018 due to regulatory crackdown?
We may not know with arisebank because the owners have a checkered past thats unquestioned. There are two major camps for and against AB and the biggest losers are the investors who have now lost their money.
Its a difficult position, the founders seem genuine with their intention but regulators are clamping down so anything with promises especially what they consider to be securities would be taken apart