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"A Key Point": The Australian Regulatory Authority Updated the ICO, Guidelines on Cryptographic Systems

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ASIC, Australia's regulator and financial supervisor, revises its position on initial offers of coins and cryptocurrencies. weeks, stressing that keeping an "open mind" to new financial technologies will not be to the detriment of "basic consumer protection" practices.

Speaking at a FinTech event in Sydney with a number of blockchain and crypto companies present Thursday, Australian Securities and Investments Commissioner (ASIC) John Price specifically discussed how the regulator will interact with ICOs and crypto-currencies.

In his speech, the regulator stated that the authority was "determined to see Australian fintech and regtech flourish in the right regulatory environment". The same goes for its position on cryptocurrencies and ICOs, he added, while stressing that the "ASIC must focus both on the protection of Australian consumers and the facilitation of consumer protection." innovation in the financial services sector. "

In September 2017, the ASIC published an information sheet intended to guide companies who were considering injecting funds or raising funds through initial offers of coins (ICO).

Depending on the type of token offered, ICOs may be considered a managed investment system, a public offering of shares, a derivative offer or a non-cash payment facility. , according to the information sheet.

The circumstances of the ICO in the manner in which it is structured and operated will determine its legality, the sheet explains, warning OIC promoters of their obligation not to engage in deceptive or misleading conduct. misleading with potential investors. The elimination of deceptive practices, in particular, is "a key element for us in the future," said the Commissioner of ASIC

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"I wanted to signal to you tonight that we will be doing some updates to the information sheet in the coming weeks," Price said in his speech, saying the document "will include more than Cryptocurrencies "in its updated extension.

He added:

We will emphasize that Australian business and consumer law could apply – even if the ICO is created and offered overseas. This is an important point given the international nature of this sector.

"There is a perception that Australian regulations do not apply or can be avoided by engaging in an activity abroad," he said later. "I can not emphasize enough that if you do business here and sell something to Australians – including issuing securities or tokens to Australian consumers – our laws here can apply."

Finally, the manager reiterated that ASIC – as the regulator of Australia's businesses, markets and financial services – will take a proactive and forward-looking approach.

"But there is one thing that I need you to take out ASIC tonight, is that we are dealing with real money and that ASIC support can not be at the expense of consumer protection and their funds have been unfairly separated, "he said, stressing that the regulator will devote" great attention To the prohibition of misleading and deceptive conduct in the OIC space.

Image from Shutterstock.

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