Ava Labs’ Avalanche project picks up $42m in initial coin offering

Blockchain FinTech Avalanche has picked up $42m in an initial coin offering of AVAX tokens which took a little more than four hours.

The project is developed by AVA Labs and is set up to create a unified global digital market for equities, commodities and alternative assets.

It is set up to enable financial organisations to tap into the marketplace and trade securely on its “internet of assets”.

The token sale was initially expected to run for two weeks, enabling buyers from 100 countries to purchase one of the 72 million AVAX tokens.

However, the ICO closed just after four hours and 33 minutes, according to CoinTelegraph.

The sale was reportedly done in compliance with the US federal financial regulations.

That was something blockchain services company BitClave failed to do or its 2017 ICO. As a consequence, the FinTech had to pay back the proceeds from its unregistered ICO and settling charges brought on by the Securities and Exchange Commission (SEC). It ended up paying back $25.5m. It did not admit to any wrongdoing.

The news about Avalanche’s ICO comes after the US Office of the Comptroller of the Currency (OCC) asked industry stakeholders for some feedback about how it should deal with digital banking, RegTech and cryptoassets in the future.

It is not the only country beefing up its crypto asset regulations. New regulations proposed by the UK government is looking to make the rules more strict. If the new rules would be enforced, it would mean authorised firms would have to ask the government for its thumbs up in order to, in turn, give unauthorised firms permission to promote crypto assets.

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