ICORating amended by SEC with nearly $ 280,000

The SEC supervisory authority has amended the site for evaluating ICORating crypto projects, on the grounds that it has promoted the sale of securities at no cost, without disclosing this fact to the public.

The Commission claims that ICOrating violated section 17 (b) of the Securities Act. The site published ratings and advertised projects

“Which describes securities / securities in exchange for compensation received, directly or indirectly. From issuers, subscribers or brokers, without disclosing to the public the respective compensation or its value. “

According to the SEC, ICORating charges fees to evaluate and produce ICO project research reports on site. The company also released these reports through social channels.

“During the relevant period, ICORating was paid with the value of $ 100,572, directly or indirectly, by certain issuers whose ICO projects evaluated and publicized them”,

declared the SEC in order. However, ICORating did not disclose these payments to its readers.

Stinging fine

The supervisory authority ordered ICOrating to stop promoting the projects for a fee and fined the company a total of nearly $ 280,000.

Currently, the number of ICO and IEO projects has decreased significantly with the decrease in the popularity of altcoins. However, it becomes apparent that the supervisory authorities pay much more attention to this industry. In the last year, for example, the SEC and other similar authorities have taken direct action against fraudulent or violating securities law projects. Apparently, including the websites promoting these projects have been brought to their attention.