The US Securities and Exchange Commission (SEC) has just made a decision regarding blockchain startup Blockchain of Things Inc. (BCOT), which in 2017 allegedly sold unregistered securities through its ICO.
After studying the case, the US regulator has ruled that BCOT must cease all activities violating federal securities laws. The company must also pay a $250,000 fine.
According to the SEC, the company raised around 13 million dollars during its ICO with the aim of developing a blockchain platform to allow developers to create applications to send messages and generate and transfer digital assets.
The SEC has ruled that BCOT must now return the attracted funds to investors who purchased its tokens during the ICO. In addition, BCOT must register its tokens as securities pursuant to the Securities Exchange Act of 1934 and report to the regulator on a regular basis.
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