We examine the regulation of virtual and digital assets as stored and transmitted over the Internet by blockchain. We do this in the context of how funds are raised from the public through Initial Coin Offerings. Our paper includes the regulation of the infrastructure provided by Virtual Asset Service Providers. In particular, we investigate the primary and secondary markets of Initial Coin Offerings by such entities. We find that there is considerable ambiguity in existing legislation within and across jurisdictions. We make recommendations in respect of both securities law and consumer law. We conclude that investors would be better protected by greater regulation of Initial Coin Offerings that promote virtual assets. We provide recommendations for appropriate regulation in both primary and secondary markets, as well as under consumer and securities law.
|Place of Publication||Glasgow|
|Publisher||University of Strathclyde|
|Publication status||Published - 31 Mar 2021|
- virtual assets
- virtual asset service providers
- financial services