The SEC is targeting ICOs once again, but it is now adding more focus through its new Enforcement Division Cyber Unit.

• In its enforcement settlement with Munchee, Inc., the SEC looked past the utility of a “utility token” in its “securities” analysis and instead focused on aspects such as marketing and the existence of a secondary market for the tokens.
• SEC Chairman Jay Clayton issued a statement reinforcing that facts matter for each token sale, but also provided a warning that when things sound “too good to be true,” they usually are.

In this update, we detail the background behind the SEC’s Munchee Order and its new Cyber Unit, share some lessons from the order and consider the implications of these renewed efforts. Read the full article on PerkinsCoie.com