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Entries tagged “sec”

Chinese Companies Listed on US Exchanges Must Disclose Potential Risk Associated with Potential Government Interference According to an SEC Official

im-report Chinese Companies Listed on US Exchanges Must Disclose Potential Risk Associated with Potential Government Interference According to an SEC Official Debbie A. Klis · July 27, 2021

On July 26, 2021, a senior U.S. Securities and Exchange Commission official, Allison Lee, advised that Chinese companies listed on U.S. stock exchanges must disclose the potential risks associated with the Chinese government interfering in their businesses, as part of their normal reporting requirements. The genesis of SEC’s comment is believed to be the recent…

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The Exempt Offering Ecosystem: What the SEC Changed

insights The Exempt Offering Ecosystem: What the SEC Changed Dror Futter · November 11, 2020

The SEC announced a series of amendments (likely to be effective early next year) to the rules governing private offering exemptions – by far the most frequent path for venture fundraising. The amendments retain the same “menu” of exemptions but make incremental improvements. For the early-stage community, the amendments include a very useful provision that excludes “Demo…

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Let the Fundraising Begin: SEC Harmonizes and Improves its Exempt Offering Framework

insights Let the Fundraising Begin:  SEC Harmonizes and Improves its Exempt Offering Framework Debbie A. Klis · November 6, 2020

On November 2, 2020, the Securities and Exchange Commission (“SEC”) voted to amend and simplify its rules governing private-offering exemptions under the Securities Act of 1933 (the “Securities Act”) to promote capital formation (the “Amendments”).[1]  The SEC release included discussion of their intent to remain true to the key components of their mission, namely investor…

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Finding Your Fortune – SEC’s Proposal To Allow Non-Registered Finders

insights Finding Your Fortune – SEC’s Proposal To Allow Non-Registered Finders Carl Sherer · November 2, 2020

The US Securities and Exchange Commission proposes to establish a new limited and conditional exemption from the broker registration requirements for natural persons engaging in certain limited capital-raising activities on behalf of issuers seeking to raise funds from accredited investors. If adopted, the proposed exemption will allow natural persons to engage in certain limited activities involving accredited investors…

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Beware of employee equity, the credit cards of the venture community

insights Beware of employee equity, the credit cards of the venture community Dror Futter · November 4, 2019

Dror Futter focuses his practice on startup companies and their investors and has worked with a wide range of technology companies. His fifteen years’ experience as in-house counsel includes positions with Vidyo, Inc., a venture-backed videoconferencing company, and New Venture Partners, a venture fund focused on corporate spinouts. Prior to that, Mr. Futter was Counsel to…

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Block.one, Creator of EOS, Settles with the SEC. Was it a Slap on the Wrist? Did EOS Get a Pass from the Feds?

insights Block.one, Creator of EOS, Settles with the SEC. Was it a Slap on the Wrist? Did EOS Get a Pass from the Feds? Dror Futter · October 3, 2019

The SEC recently reached a $24 million settlement with Block.one for its unregistered offering of over $4 billion worth of EOS tokens. The Crowdfunder Insider news site reached out to Rimon partner Dror Futter for comment on this unusual development. “This seems to place EOS in the same category as Ether, a token that likely…

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On the Second Anniversary of the DAO: The Token Universe’s Cat Food Moment

insights On the Second Anniversary of the DAO: The Token Universe’s Cat Food Moment Dror Futter · August 21, 2019

It has been two years since the SEC took its first formal action with respect to a token issuance.  Since then there has been a great deal of regulatory activity that has provided some clarity.  In this article, Rimon partner Dror Futter provides an in-depth regulatory summary of where things stand for those considering issuing…

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ICO Tokens & the SEC: You Can’t Even Give Them Away …. No, Seriously

insights ICO Tokens & the SEC: You Can’t Even Give Them Away …. No, Seriously Dror Futter · August 21, 2018

The SEC has issued a Cease & Desist Order and sanctions against a token issuer and its founder.  Among several findings, the SEC determined that the “Bounty Program” run by the issuer constituted a securities offering.  The Order states “a ‘gift’ of a security is a ‘sale’ within the meaning of the Securities Act when the [issuer]…

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ICOs: “One Giant Leap for the SEC?”

insights ICOs: “One Giant Leap for the SEC?” Dror Futter · June 19, 2018

William Hinman, Director of the SEC’s Division of Corporate Finance, announced last week that Ether was not a security.  He also provided the broadest look yet as to how the SEC analyzes ICOs. FinTech Partner, Dror Futter analyzes what it all means in the article below. Read the full article here. In addition to a growing blockchain practice, Dror Futter focuses his practice on…

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SEC Chairman Calls Out ICO Lawyers in January 22 Remarks

insights SEC Chairman Calls Out ICO Lawyers in January 22 Remarks Dror Futter · January 24, 2018

“If You Can’t Hear Me, I’ll Speak a Little Louder!” – SEC Chairman Clayton followed up critical remarks on ICO market advisors in December with new, blunt criticisms of many ICO attorneys. Read the full story and insights here.   Mr. Futter has more than 20 years of high tech and business experience. He represents emerging companies and their…

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