What does the Ripple news mean for Premined, IPO, ICO coins? Did they follow KYC - page 2.

bitcoin_bagholder

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Quote from: tokeweed on May 05, 2015, 08:40:33 PM

Is it just me or did Ripple Labs got away with it. FINCEN just gave them a 700K USD fine. That's slap on the wrist. If this was about Bitcoin, the accused would surely be sent to jail. Remember Charlie Shrem...

Shrem was accused of knowingly helping to launder drug money. Don't remember what he plead to but I believe he admitted to it all. Bit different eh...

box0214

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im curious to how does colored coins fall into this category?

say a local coffee shop issued a coffee coin that is redeemable only in their shop. how does that play out? in essence its just issuing store credit but its leveraging a crypto blockchain.

defaced

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Quote from: boxxa on May 05, 2015, 08:47:17 PM

I think the biggest problems ICO coins have are tax liability. Anyone who took BTC and cashed it out needed to treat it as income and I bet a lot may have not and owe taxes if they ran with cash.

As for Ripple, the big complaint they got was not following money laundering requirements which is big if you are doing cash to BTC conversions or to any coin. This is not taken lightly by FinCEN and has always been a major point of doing exchanging and allowing people to launder money with the means that from what I understand Ripple had a way to cash in and out with coins.

I don't see how ICO/Premine/IPO is an issue with laundering unless you are based in the US and provide either a guarantee of profit or basing it off of trading by selling securities which is more of a SEC issue and falls under things like guaranteeing profit and other no nos.

Yea its deff interesting how this news can be interpreted but I have a suspicion that we will find out sooner rather than later.

defaced

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Quote from: tokeweed on May 05, 2015, 08:40:33 PM

Is it just me or did Ripple Labs got away with it. FINCEN just gave them a 700K USD fine. That's slap on the wrist. If this was about Bitcoin, the accused would surely be sent to jail. Remember Charlie Shrem...

maybe its all about the money, what about the others who cant afford that 700k fine.

boxxa

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I think the biggest problems ICO coins have are tax liability. Anyone who took BTC and cashed it out needed to treat it as income and I bet a lot may have not and owe taxes if they ran with cash.

As for Ripple, the big complaint they got was not following money laundering requirements which is big if you are doing cash to BTC conversions or to any coin. This is not taken lightly by FinCEN and has always been a major point of doing exchanging and allowing people to launder money with the means that from what I understand Ripple had a way to cash in and out with coins.

I don't see how ICO/Premine/IPO is an issue with laundering unless you are based in the US and provide either a guarantee of profit or basing it off of trading by selling securities which is more of a SEC issue and falls under things like guaranteeing profit and other no nos.

This is probably going to be the start of a major push of regulations as we see more and more big players with stake which already have relationships with major government bodies. We see ones doing major transactions in the millions so 700k may be nothing but at this trickles down, we may see smaller guys get nailed with fines that bankrupt them.

Either way, I am not a lawyer so take this with a grain of salt.

tokeweed

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Is it just me or did Ripple Labs got away with it. FINCEN just gave them a 700K USD fine. That's slap on the wrist. If this was about Bitcoin, the accused would surely be sent to jail. Remember Charlie Shrem...

defaced

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Quote from: Prosperityforall on May 05, 2015, 08:22:01 PM

This is bad news for IPO, premined, and instamined coins in which the developer(s) profited.

I think them profiting is fine, its how they profited which might be their undoing. If I were a coindev with any type of ico, ipo id be pretty nervous right now.

tokeweed

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Ripple isn't as compliant as we thought. The news is also in coindesk http://www.coindesk.com/fincen-fines-ripple-labs-700000-bank-secrecy-act/

I wasn't aware Ripple Labs had a subsidiary named XRP II selling ripples on a whole sale basis. I was under the impression they where doing forgivable loans with banking partners to use Ripple.

Prosperityforall

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This is bad news for IPO, premined, and instamined coins in which the developer(s) profited.

defaced

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How can this news be interpreted for the hundreds of premine coins that got sold anonymously for BTC? How many premined coins took KYC/AML precautions?

Topic: What does the Ripple news mean for Premined, IPO, ICO coins? Did they follow KYC - page 2. (Read 2359 times)