Can I raise money through an initial coin offering (ICO) without violating securities laws in Kansas? What are the requirements?

Requirements for Raising Money through an ICO in Kansas

In Kansas, the Securities Commissioner has issued guidance on ICOs, stating that ICOs may be considered securities offerings and subject to state securities laws ^[5]. Therefore, it is important to comply with these laws to avoid violating securities laws in Kansas.

To raise money through an ICO in Kansas, you must comply with the registration requirements of the Kansas Uniform Securities Act (KUSA) ^[5]. This means that you must register the ICO with the Kansas Securities Commissioner or qualify for an exemption from registration ^[2].

To qualify for an exemption, you must meet certain requirements, such as limiting the offering to accredited investors or filing a notice of exemption with the Kansas Securities Commissioner ^[2]. It is important to consult with a securities attorney to determine which exemption is appropriate for your ICO.

Additionally, it is important to ensure that your ICO does not violate federal securities laws. The SEC has stated that ICOs may be considered securities offerings and subject to federal securities laws ^[2]. Therefore, it is important to comply with these laws as well.

Source(s):

• [2] - VIRTUAL CURRENCIES: THE OVERSIGHT ROLE OF THE U.S. …
• [5] Untitled

Jurisdiction

Kansas

• General