The SEC is warning against a new twist on an old crypto sche

The US stock market regulator is warning investors about the latest twist on crypto fundraising. In an investor alert published Tuesday (Jan. 14), the Securities and Exchange Commission urged investors to “use caution” before buying digital tokens offered to the public through online exchanges. This alternative fundraising model is known as an initial exchange offering, or “IEO.”

As opposed to initial coin offerings (ICOs)—the fundraising strategy, popularized in 2017, wherein bu...

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The SEC is warning against a new twist on an old crypto scheme