Four businesses suspected of selling unregistered securities in Texas have signed a cease and desist order.
The result of a nine-month process, Mintage Mining, BC Holdings and Investments, Social Membership Network Holding, Nui Social and manager Darren Olayan agreed to refrain from offering cryptocurrency tokens to investors.
As respondents listed in the order, the entities will also pay an administrative fine of $25,000.
In July last year, the Texas State Securities Board (SSB) identified token offerings by the companies as falling under the definition of securities according to local laws.
The latest order confirms the findings, and requires no further activity to take place until suitable licensing and documentation are collected. The order was signed by all the named respondents.
The move constitutes the most recent victory for the SSB in its ongoing clampdown on unregistered securities sales by the emerging cryptocurrency sector. As Cointelegraph reported, bad actors in the space are subject to intense scrutiny, mirroring a nationwide operation by the United States Securities and Exchange Commission (SEC).
Earlier this month, the SSB revealed it had issued a total of 16 orders to industry players in 2018 that it suspected of being scams.
“The orders cited a total of 60 individuals and entities,” the regulator said in its yearly roundup, stating:
“None of the individuals or firms were registered to sell securities in Texas.”
Visit the USSA News store!
Click this link for the original source of this article.
Author: William Suberg
This content is courtesy of, and owned and copyrighted by, https://cointelegraph.com and its author. This content is made available by use of the public RSS feed offered by the host site and is used for educational purposes only. If you are the author or represent the host site and would like this content removed now and in the future, please contact the USSANews.com administrator by using the contact form located in the top-left menu. Your request will be immediately honored. Please visit https://cointelegraph.com for more terrific, conservative content. The owner of this website may be paid to recommend American Bullion. The content of this website, including the positive review of American Bullion, the negative review of its competitors, and any other information may not be independent or neutral.