The Securities Commission of Alabama has declared illegal three local ICOs

The Securities Commission of Alabama has declared illegal three local ICOs


The Alabama Securities Commission (ASC) bossed to stop distribution token mining company Extrabit within the limits of the state. About it talked in the official record of department from Mays, 2, Сoindesk reports.

ASC asserts that an advertisement token  on a web-site WSFA (affiliated with NBC broadcasting company with a license in the capital of the state Montgomery) was suggestion unregistered securities, id est a company attracts facilities of investors from Alabama illegally. An advertisement specified that investors can purchase token  Extrabit (EXB) with a discount in 50% during pre-ICO, ASC specifies. This tear-sheet is already removed from a web-site.

“For participating in a presale user must invest 20 thousand dollars. After a purchase token will be sent in MyEtherWallet during 48 hours”, – original announcement quotes an agency.

In addition, in white paper of project Extrabit specified, that a firm generates a profit from the booty Bitcoin (BTC), Zcash (ZEC) and Monero (XMR), and investors that support positive balance of purse  EXB can count on a profitableness in 185% quarterly (740% annual).

ASC asserts that a project is not only an offer unregistered securities for a sale but also did “substantially entering in an error statements, to deceive and attract investors, and must stop presale.

In opinion of officials, Extrabit is the not only ICO- project threatening to the habitants of Alabama. Line search of Google on a web-site WSFA on demand the “sale of tokens” gives out more than 200 announcements in style press-releases of the different ICO- projects.

Two other orders of ASC, from 2 and on May, 18 accordingly, touch stopping action ICO- projects of LEV and Platinum. As in the case of Extrabit, an agency accused them the sale unregistered securities in Alabama, by means advertisement with the unrealistic promises relatively credible return from investments to the potential investors.

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