Canadian Court Issues Cease And Desist Order To DasCoin
The North American Securities Administrators Association recently announced the pending results of a massive strike against cryptocurrency scams known as “Operation Cryptosweep.” Though many investigations are still ongoing, at least one major regulatory action has been levied against a significant player in the multilevel marketing game which has dominated the seedier aspects of the cryptocurrency and ICO sectors.
British Columbia securities officials recently issued a cease and desist notice against DasCoin, a new cryptocurrency which has just recently won a listing on premier cryptocurrency exchange CoinMarketCap. No official response has been issued by the company, and the operating strategy thus far seems to be to ignore the legal snafu and work to hype up their current market moves.
The company is known as a multilevel marketing campaign being promoted by Net Leaders, a review site working to further the interests of the cryptocurrency and its operations as it ascends in value. At the moment, this site has failed to acknowledge the legitimacy nor existence of the court-issued cease and desist order.
This recent action is only the first step in what could be a lengthy legal battle. However, it is equally likely that the company will simply uproot itself and either move to a new center of operations, or continue under a new name while doing the same exact thing. This trend, of movement and minor revisions to existing business structures, is one reason why preventing the proliferation of scams and schemes on the cryptocurrency market.
The Future Of DasCoin
Despite the accusations of being a scam and the legal action currently being taken against the organization, its listing on CoinMarketCap has yet to be removed. Additionally, the price of the coin continues to maintain somewhat stable value, currently hovering at around seventeen cents per unit.
It isn’t just CoinMarketCap that provides the MLM scheme’s coin with an official listing, either. Both Coin Falcon and BTC Alpha exchanges currently list DasCoin on their platform, and continue to allow the trade of the coin for traditional fiat and alternative currencies.
Additionally, DASC is still being heavily pushed and marketed by both its own team and the marketing professionals at Net Leaders.
This latest attack is among the first of many coordinated strikes conducted all over North America on cryptocurrency-based scams. The NASAA’s director of Enforcement Doug Muir commented in an official statement that this scam is symptomatic of a continual problem of scamming in the financial sector. He writes that scammers are constantly searching for ways to “attract victims,” many of them “taking advantage of the popularity” of alternative digital currencies to defraud investors.
As the operation continues all over Canada, the United States, and Mexico, the success of this cease and desist effort could help to incentivize the efforts of NASAA to fight a growing scamming problem which continues to permeate the cryptocurrency and Initial Coin Offering industry.
It is unlikely that the founders of DasCoin will become interested in embracing the orders of the British Columbia court immediately. It is far more likely that a transitional period or a complex and costly legal battle will determine the fate of the coin.