Financial controller of Malaysia issued the order to cease the illegal activities of the startup, which planned primary placement of tokens (ICO).
Copycash’s Foundation, according to the statement
The securities Commission Malaysia (SC), a notice is sent after a request by one of the investors of the company. On its website copycash’s positioning itself as a platform «social collectionone», that means Association of investment and trade.
«The Directive was issued after the SC investigation, which revealed that there is a high likelihood that the disclosure of information in the White paper copycash’s Foundation for potential investors will be in contravention of the requirements of the securities act,» reads the statement of the Commission.
SC mentioned copycash’s statement
from 5 January regarding the funding model on the basis of the blockchain. At that time, the regulator said that it planned to meet with representatives of copycash’s Foundation «to study its activities, including the planned launch CopyCashCoin».
The fact that the regulator acted quickly and almost immediately issued the order to cease operations, it is not surprising. The trend of the prohibition of the ICO before its official launching can be traced
the actions of financial regulators around the world. Representatives of the SC said in its statement on 5 January that noticed a spike in the ICO promotion in Malaysia, including among the elderly.
SC added that will work on the issue of the ICO and other agencies, including the Central Bank of Malaysia.