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New guidelines for ICOs called for by member of the European parliament

The initial coin offering (ICO) sector is an interesting one. Every day there is more news related to exciting projects and more established companies getting involved in some shape or form.

New guidelines for ICOs called for by member of the European parliament August 28, 2018Leave a comment

The initial coin offering (ICO) sector is an interesting one. Every day there is more news related to exciting projects and more established companies getting involved in some shape or form.

It is clear that the mainstream world is aware of ICOs and institutional investors are now entering into the space. With large sums of money being pumped into these offerings, it is even more imperative that guidelines are implemented to ensure that investors are protected and the operator of the token sales know what path they need to follow from a compliance point of view.

The European regulators have been going back and forth through most of 2018 when it comes to deciding on the types of regulations that are implemented for the ICO and crypto sector as a whole.

Now a member of the European parliament has made a call that further ICO regulations are introduced after a plan from the Committee on Economic and Monetary Affairs had been muted previously.

What are the details about these proposed guidelines?

Both crypto exchanges and tokens all have received special focus from the authorities to date this year. Now calls are in place for ICOs to face stricter regulations. The member in question is Ashley Fox and he is a representative in Brussels for the United Kingdom.

She has been calling for the muted draft proposal to be reopened. It was Fox who had originally written the draft which had the goal of bringing in fresh rules for those holding ICOs in the continent.

The European Commission does have a proposal in the works that would implemented a framework when it comes to crowdfunding, but it is not until March of 2019 that this is expected to be published.

Fox has clarified the legal grounds that the guidelines have, ensuring that they fall in line appropriately. The sector as a whole is somewhat split when it comes to whether or not they would like to see extensive guidelines and regulations implemented on the sector. Some think that they would intrude too much on the sector and hamper innovation.

Fox is concerned that criminals and money launderers could see the ICO sector as an ideal way in which they can make their funds legitimate.

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