Precis’ Post

The U.S. Securities and Exchange Commission (SEC) has reportedly started investigating cryptocurrency venture capital firms for potentially functioning as unregistered securities dealers and allegedly violating securities laws, per BlockTower Capital chief investment officer and founder Ari Paul. The recent development comes after the SEC took legal action against major crypto exchanges like Coinbase, Kraken, and Binance for offering unregistered securities to investors. The SEC is investigating whether crypto projects sold tokens to VCs at significantly discounted rates before their official launch in the hopes that the VC firms would promote the tokens to their investors. Paul suggests that VCs engaging in promotional activities for discounted tokens could be viewed as acting as securities dealers or even "pump-and-dumpers." The SEC has recently broadened the focus of its investigation to include DeFi applications and other industry participants, including Robinhood, Consensys, and Uniswap. The latest move suggests that the SEC is intensifying its regulatory battle against the crypto industry, with the agency maintaining that cryptocurrencies fall under existing securities laws.

Please join us in welcoming our newest Practus partner, Timothy Spangler! Timothy’s practice intersects alternative investment management and financial technology innovation with modern legal strategy and counsel. Timothy assists clients with the formation, structuring, and negotiation of private investment vehicles across numerous jurisdictions around the world. He regularly advises fund sponsors and promoters on the structuring and launch of: -hedge funds -private equity funds -venture capital funds -co-investment arrangements -internal partnerships -personal investments He also has extensive experience counseling clients on ongoing compliance obligations of investment management firms, including Act 1940, the Financial Services and Markets Act 1000, and the Alternative Investment Fund Managers Directive. The combination of finance and innovation comes together when he advises clients on the impact of blockchain, crypto, and digital assets on the financial services industry and economy as a whole. Although Timothy is joining us from Los Angeles, California, he’s practiced law around the world and is licensed in New York, California, England, and Wales. When he’s not practicing law, Timothy is a frequent author and speaker on developments in the alternative investment funds and financial technology spaces. He also follows the rise and falls of his beloved Fulham FC in the Premier League and beyond. Find out how Timothy can help you here: https://lnkd.in/dNJvMVaz #PractusLaw #ThePractusWay #financialservices #finance #digitalassets #modernlawyer #modernlawfirm #virtuallawyer #virtuallawfirm #newhire #legalpartner

MATRIXPORT EXPANDS EUROPEAN FOOTPRINT WITH ACQUISITION OF CRYPTO FINANCE AG - Matrixport, an all-in-one crypto financial services platform, has announced the completion of its all-cash acquisition of Crypto Finance AG, per CoinDesk. - Crypto Finance AG is a licensed Swiss crypto asset manager that was a former Deutsche Borse Group-owned subsidiary. - The Switzerland-based entity has now been renamed Matrixport Asset Management… - …and offers institutional-grade digital asset investment solutions, including the first FINMA-approved crypto fund. - “The acquisition reflects a steadfast commitment towards continually collaborating with regulators to review existing regulations and refine virtual asset-specific regulations in the years to come”, said Matrixport’s Chief Compliance Officer & Head of Regulation, Christopher Liu. - Matrixport currently has $6 billion in assets under management, per CoinDesk. [Image Generated by Grok]

Are you navigating the maze of startup financing in the crypto space? 🧩 As a boutique corporate law firm, Day One Law has seen it all— from seed rounds to Series A, and beyond. The crypto startup ecosystem is especially unique, posing distinct challenges and opportunities that traditional ventures might not encounter. One crucial piece of advice for founders: Understand the regulatory landscape! In crypto, this isn't just about compliance; it's about survival and scalability. Missteps here can cost you your business or lead to severe legal repercussions. Investors are more likely to trust a founder who knows their regulatory obligations inside-out. What questions do you have on navigating these legal waters? Let's discuss below!👇

Securitize secures a $47 million founding round from BlackRock #Securitize, the US-based powerhouse specializing in asset tokenization and traditional securities, has hit a major milestone with its latest funding round. The round, totaling an impressive $47 million, was spearheaded by none other than global asset manager #BlackRock, signaling a significant vote of confidence in Securitize's vision and capabilities. Joining BlackRock in this landmark funding are prominent names in the investment realm, including ParaFi Capital, Tradeweb Markets, and Hamilton Lane, alongside backers such as Aptos Labs, Circle, and Paxos. With this influx of capital, Securitize is gearing up for an exciting phase of growth and innovation. Founded in 2017 and headquartered in San Francisco, Securitize has been at the forefront of revolutionizing capital markets by tokenizing real-world assets. By leveraging blockchain technology, Securitize empowers investors with unprecedented access to features like lending, borrowing, secondary market trading, and more, all while ensuring seamless transfers and flexible custody options. Joseph Chalom, BlackRock's global head of strategic ecosystem partnerships, emphasized the transformative potential of tokenization in capital markets, citing it as a driving force behind BlackRock's investment in Securitize. As part of the investment, Chalom will also join Securitize's board of directors, further solidifying the partnership between the two entities. In addition to leading Securitize's funding round, BlackRock has unveiled its inaugural tokenized fund, the BlackRock USD Institutional Digital Liquidity Fund (BUIDL), to be issued on the Ethereum network. This move underscores BlackRock's commitment to embracing digital assets and leveraging blockchain technology to enhance financial offerings. The article on FinTech Futures in the first comment. Want to stay up to date with the market? Here my newsletter: - Linkedin: https://t.ly/s541W   - Substack: https://lnkd.in/dzfGJzmW

White & Case LLP has advised Bitwise Group, a leading provider of digital asset-backed securities, on the expansion of its product portfolio to include the first Aptos staking exchange traded product (ETP). Read more. https://ow.ly/m64o50U6iuB #whitecase

The legal saga between decentralised exchange Curve’s founder Mikhail Egorov and three crypto venture capital heavyweights has taken another twist. A California appeals court upheld the dismissal of the VCs’ lawsuit on the grounds that the state is not the right place for the case.

White & Case LLP has advised Bitwise Group, a leading provider of digital asset-backed securities, on the expansion of its product portfolio to include the first Aptos staking exchange traded product (ETP). Read more. https://ow.ly/zWux50UiKot #whitecase

White & Case LLP has advised Bitwise Group, a leading provider of digital asset-backed securities, on the expansion of its product portfolio to include the first Aptos staking exchange traded product (ETP). Read more. https://ow.ly/igr750UawUE #whitecase

White & Case LLP has advised Bitwise Group, a leading provider of digital asset-backed securities, on the expansion of its product portfolio to include the first Aptos staking exchange traded product (ETP). Read more. https://ow.ly/Tfpl50U6lWO #whitecase