Latham & Watkins has collaborated with ConsenSys to launch the Automated Convertible Note to help startups raise capital using a traditional financing instrument with an eye toward a future distribution of tokens.
In...more
5/28/2019
/ Capital Raising ,
CFTC ,
Commodities ,
Commodity Exchange Act (CEA) ,
Convertible Notes ,
Financial Instruments ,
Most-Favored Nations ,
Securities ,
Securities Exchange Act ,
Startups ,
Token Sales
The new initiative promises standard settlements for qualifying self-reported violations.
On January 28, 2019, the Financial Industry Regulatory Authority (FINRA) issued Regulatory Notice 19-04 announcing its 529 Plan...more
Recent actions reinforce the SEC’s commitment to applying traditional securities markets regulation in the cryptocurrency markets.
The US Securities and Exchange Commission (SEC, or the Commission) recently issued a public...more
The settled order is the first SEC action charging a seller of digital tokens as an unregistered broker-dealer.
On September 11, 2018, the U.S. Securities and Exchange Commission (SEC) announced a settled order instituting...more
FINRA Enforcement head Susan Schroeder offers member firms clarity on arguments most likely to move FINRA to decline an Enforcement action.
The Financial Industry Regulatory Authority (FINRA) relies on a framework of core...more
Developing a framework for consumer tokens -
With the rapid growth in the development of blockchain technology, virtual currencies and token sales (sometimes referred to as initial coin offerings, or ICOs) in 2017 and...more
9/19/2018
/ Bitcoin ,
Blockchain ,
CFTC ,
Commodities ,
Cryptocurrency ,
Currency Control ,
Initial Coin Offering (ICOs) ,
Popular ,
Securities ,
Securities and Exchange Commission (SEC) ,
Token Sales ,
Tokenization ,
Virtual Currency
SEC’s Hinman provides helpful guidance for analyzing digital assets under the US securities laws.
William Hinman, Director of the US Securities and Exchange Commission (SEC) Division of Corporation Finance, provided...more
Proposal seeks to clarify and enhance obligations applicable to a broker-dealer’s retail customer interactions, but may raise more questions than answers.
The Securities and Exchange Commission (SEC) proposed for public...more
Best execution is currently a hot topic for global regulators and the past year has seen notable regulatory focus in this area. Amid this development, firms are recommended to review their global best execution compliance...more
How should broker-dealers, investment advisers, and other registered firms in the US, UK, and Hong Kong address cryptocurrencies in their compliance programs?
Originally published on bloombergbna.com on April 16,...more
BaFin, the German Federal Financial Services Supervisory Authority, joins global regulators in releasing guidance for German ICO issuers and advisors.
The growing number and commercial significance of cryptographic token...more
The SEC’s latest enforcement action and its Chairman’s statement clarify the application of securities laws to ICOs and cryptocurrency markets.
Introduction -
On December 11, 2017, the US Securities and Exchange...more
US and EU authorities have finally moved to solve the cross-border issues arising from MiFID II rules on research unbundling.
Key Points:
- The US SEC has published three temporary “no action” letters, which are...more
SEC’s investigative report sends clear message that virtual transactions using innovative technologies are subject to the application of securities laws.
Introduction -
On July 25, 2017, the US Securities and Exchange...more
7/28/2017
/ Blockchain ,
Distributed Ledger Technology (DLT) ,
Enforcement Actions ,
FinTech ,
Initial Coin Offering (ICOs) ,
Market Participants ,
Popular ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Token Sales
The proposal represents a major step in what promises to be a full-scale overhaul of FINRA’s Capital Formation Rules -
On April 12, 2017, the Financial Industry Regulatory Authority, Inc. (FINRA) published Regulatory...more
The safe harbor would offer relief from certain requirements of FINRA’s research rules, but significant compliance obligations and questions remain.
On April 12, 2017, the Financial Industry Regulatory Authority, Inc....more
Regulators responded to a narrow question about trading bitcoin-based securities, with orders that should not limit innovation in bitcoin technologies.
On March 10, 2017, the US Securities and Exchange Commission (SEC)...more
The proposed consolidated rules bifurcate the representative-level examination program and introduce greater flexibility in obtaining and maintaining registrations.
On March 8, 2017, the Financial Industry Regulatory...more
Amendment to FINRA Communications Rule would put member firms on a more equal footing with investment advisers.
In February 2017, the Financial Industry Regulatory Authority, Inc. (FINRA) announced a proposed amendment...more
Placement agents to private funds who seek investments by state and local pension plans must comply with restrictions on political contributions and related activities.
On August 25, 2016, the Securities Exchange...more
While the new rules may provide a measure of relief to certain entities that engage in a limited subset of broker-dealer activities, significant compliance requirements continue to apply.
On August 18, 2016, the U.S....more
The action underscores the need for investment advisers and broker-dealers to maintain robust policies and controls when utilizing third-party contractors.
On May 27, 2016, the Securities and Exchange Commission (SEC)...more
The action may have significant implications for PE advisers performing brokerage services; highlights SEC’s focus on advisers receiving transaction-based compensation.
On June 1, 2016, the Securities and Exchange...more
6/29/2016
/ Broker-Dealer ,
Investment Advisers Act of 1940 ,
Management Fees ,
Neither Admit Nor Deny Settlements ,
Offsets ,
Portfolio Companies ,
Private Equity ,
Private Funds ,
Registration Requirement ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Transaction-Based Compensation
Broker-dealers with historical or ongoing instances of non-compliance with the SEC’s Customer Protection Rule are encouraged to self-report by November 1, 2016.
On June 23, 2016, the Securities and Exchange...more
6/29/2016
/ Broker-Dealer ,
Compliance ,
Cooperation ,
Customer Protection Rule ,
Financial Industry Regulatory Authority (FINRA) ,
Individual Accountability ,
OCIE ,
Section 15(c) ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Self-Reporting
The BIC Exemption to the new DOL Fiduciary Rule offers some relief, but at a potentially prohibitive cost.
The US Department of Labor (the DOL) recently forced the most significant change to the investment community...more
6/23/2016
/ Best Interest Contract Exemptions ,
Best Interest Standard ,
Conflicts of Interest ,
Department of Labor (DOL) ,
Employee Retirement Income Security Act (ERISA) ,
Fiduciary Duty ,
Final Rules ,
Individual Retirement Account (IRA) ,
Notice Requirements ,
Recordkeeping Requirements ,
Required Documentation