• The author examines the decisions in SEC v. Telegram and how they may impact digital token issuers’ use of the Simple Agreement for Future Tokens model for distributing tokens.

    The Southern District of New York has issued two main rulings in SEC v. Telegram—that the offer and sale of Telegram’s cryptocurrency (Grams) involved a "scheme" to distribute securities subject to 1933 Act registration requirements, and that the Court’s preliminary injunction regarding sales or resales of Grams applies to both U.S. and non-U.S. purchasers. Murphy & McGonigle’s Larry Bergmann examines both rulings and weighs the impact they might have on future issuances of digital tokens. Among other things, Bergmann believes that the decisions will make it more difficult for digital token issuers to argue that securities sold to raise capital can be transformed at a later date into "utility" digital assets that are not securities. He also raises the question of whether improvements can be made to an operational cryptocurrency platform to enhance the value of that platform’s tokens.

    To read the entire article, click here.

  • Joseph Facciponti and Elizabeth Del Cid of the Cybersecurity, Cybercrime & Incident Response Practice will be featured speakers on a Thurs., Apr. 9 webinar, “You Transitioned to a Remote-Work Environment. Have Your Cyber and Privacy Policies and Practices Moved with You?”

  • FINRA has issued a Regulatory Notice related to the recent outbreak of coronavirus disease, "Pandemic-Related Business Continuity Planning, Guidance and Regulatory Relief".

  • Elizabeth Lan Davis attorney profile image

    Elizabeth Lan Davis, a shareholder in Murphy & McGonigle’s Washington, DC office, has been selected to the Leadership Council on Legal Diversity (LCLD) 2020 Fellows Program. The program recognizes attorneys with distinguished leadership capacity from diverse  backgrounds. LCLD is comprised of over 320 corporate chief legal officers and law firm managing partners who serve as mentors and leaders dedicated to fostering diversity.

  • Judge Invites CFTC to Comment on SEC Enforcement Action
    Securities Regulation Daily | (02/13/2020)

    In an unusual development, Judge P. Kevin Castel of the US District Court for the Southern District of New York issued an order in an enforcement action brought by the Securities and Exchange Commission (SEC) inviting the General Counsel of the Commodity Futures Trading Commission (CFTC) to express views on the issues presently before the Court.

  • OCIE and FINRA have announced that cybersecurity will, again, be at the top of their examination priorities for 2020. On top of that, cyberattacks and data privacy scandals are among the most potentially costly and harmful risks facing businesses and financial institutions today. With that in mind, Joseph Facciponti and Katherine McGrail of our Cybersecurity Team have authored “10 Practical Steps to Protect Your Firm from Cyber Threats.”