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

Requirements for raising money through an ICO in North Dakota

Based on the provided context, it is clear that North Dakota has securities laws in place [1.4]. These laws are not limited or modified in any way by any other law [1.4]. Therefore, any person or entity looking to raise money through an initial coin offering (ICO) in North Dakota must comply with the state’s securities laws.

The North Dakota Securities Department is responsible for enforcing the state’s securities laws [1.4]. The department requires that any person or entity offering or selling securities in North Dakota must register with the department or qualify for an exemption from registration [1.4]. Failure to comply with these requirements may result in civil or criminal penalties [1.4].

It is important to note that the definition of securities in North Dakota is broad and includes investment contracts, notes, stocks, and other instruments commonly associated with securities [1.4]. Therefore, ICOs may be considered securities under North Dakota law.

Additional Information

The context documents do not provide any specific requirements for raising money through an ICO in North Dakota. However, it is important to note that any person or entity looking to raise money through an ICO in North Dakota must comply with the state’s securities laws, which require registration or an exemption from registration with the North Dakota Securities Department [1.4].

Therefore, it is recommended that anyone considering an ICO in North Dakota consult with a legal professional to ensure compliance with the state’s securities laws.

In conclusion, to raise money through an ICO in North Dakota without violating securities laws, one must comply with the state’s securities laws, which require registration or an exemption from registration with the North Dakota Securities Department.

Source(s):
Jurisdiction

North Dakota