Cornerstone Research, an economic and financial consulting company, has published a report finding that more than 6% of the securities class action filings made in 2018 have related to initial coin offerings (ICOs) and cryptocurrencies.
6% of Securities Filings in 2018 Have Related to ICOs
The percentage of the total number of securities filings that relate to ICOs has thus far increased when compared to last year. A total of 87 core securities class action suits were filed in 2017, 5 of which pertained to ICOs (5.75%).
Cornerstone asserts that 750 securities class action filings have been made since mid-2016 – describing such as comprising “the most prolific 24-month period since the Private Securities Litigation Reform Act of 1995 (PSLRA) was enacted.”
Number of Filings on Track for “8.5%” of all NYSE and NASDAQ-Listed Companies to Face Litigation by 2019
Co-author of the report and former commissioner of the U.S. Securities and Exchange Commission, Joseph Grundfest, stated of the study’s findings that “Class action securities fraud litigation continues to affect a large percentage of publicly traded firms. […] If the trends observed in the first half of the year continue to year-end, approximately 8.5 percent of all companies listed on the NYSE and NASDAQ markets will have been sued in these cases.”
What is your response to Cornerstone’s research into the number of securities filings pertaining to initial coin offerings? Share your thoughts in the comments section below!
Images courtesy of Shutterstock, law.stanford.edu
Now live, Satoshi Pulse. A comprehensive, real-time listing of the cryptocurrency market. View prices, charts, transaction volumes, and more for the top 500 cryptocurrencies trading today.
The post More Than 6% of Securities Lawsuits Filed in 2018 Have Related to ICOs appeared first on Bitcoin News.