The regulator of North Dakota suspended the activities of three ICO projects
The North Dakota Department of Securities issued a decree to terminate the activities of Crystal Token, Life Cross Coin and Advertiza Holdings, offering “unregistered and potentially fraudulent securities under the guise of ICO.
According to representatives of the Ministry, misleading statements about exceptionally high incomes were posted on the websites of these projects. At the same time, a significant part of the project information was concealed or deliberately distorted.
The department also notes that none of the companies is registered as an issuer of securities. Moreover, according to department representatives, Advertiza has published false information that the company is allegedly in talks with the US Securities and Exchange Commission (SEC). The officials also noted that the Life Cross Coin website operates under the Berlin IP address, “associated with extortion, Trojans and identity fraud.”
“Financial criminals are cashing in on the hype and the general turmoil around the blockchain, crypto-assets and primary coin offers (ICO). Investors should be extremely vigilant when considering relevant investment proposals , ”said Karen Tyler.
Last month, the North Dakota financial regulator took similar measures for the BitConnect, Magma Foundation and Pension Rewards projects that promoted the ICO throughout the state.
Recall that over the past few months, the SEC has significantly tightened the policy regarding projects that raised funds through ICO.
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