March 29, 2018
One of the biggest problems with ICOs when compared to IPOs is the adequacy and reliability of information disclosed in whitepapers. Unlike IPOs, ICOs have not been vetted by independent professionals like investment bankers or lawyers.
This problem is further compounded by lack of standard rules and market practices with regard to the issuance process. There is no set of well-defined standards with respect to what needs to be disclosed and in what detail it needs to be disclosed.
ICOs also lack all the standard protection mechanisms that are otherwise available to participants in IPOs. Thus participating in ICOs remains a very risky affair for an average contributor.
Gibraltar Blockchain Exchange (GBX), a subsidiary of the Gibraltar Stock Exchange, an EU-regulated stock exchange (since it’s a part of