Bitcoin, Cryptocurrencies and the underlying Blockchain technology has become the hottest trend in recent times. Although, many countries still view cryptocurrencies as a threat to the traditional financial systems.
Vancouver Supports Cryptos
Kevin Hobbs, CEO of Vanbex Group, a Vancouver-based Fintech company, told Business Vancouver that:
“U.S crackdown on digital currencies is an opportunity for Canada. We have a once-in-a-century opportunity to regulate Blockchain technology favorably, and we can be home to what will be a trillion-dollar industry. If we get the government on our side for the future, we could be the next Silicon Valley or bigger.”
Vancouver – a bustling West Coast Seaport city in British Columbia, Canada, will soon become a significant cryptocurrency and Blockchain technology hub.
According to Mathew Unger, founder and CEO of iComply investor Services Incorporated, a Vancouver –based firm focused on the automation of regulatory and legal compliance framework for cryptocurrencies, Unger has termed 2017 “the year of the cryptocurrency explosion.”
In general terms, 2017 was mostly a successful year for cryptocurrencies but there were also hard battles. China which at one time controlled nearly 80 percent of the world’s cryptocurrency trading volume banned cryptocurrency exchanges and ICO schemes. The US SEC also developed its Cybersecurity department, which is now fully operational and has even clamped down several ICO projects.
Vanbex Group says its ICO project is so far the largest in the history of Canada. Vanbex Group raised US$33 million in its ICO scheme organized in October 2017. There were a total of 4,611 contributors, with an average purchase of approximately US$7,100. The ICO was organized to raise funds for further development of Vanbex Group’s Etherparty smart contracts platform.
Vanbex says its FUEL token is a utility token and not a coin because it is used by its Etherparty product which enables developers to create smart contracts for the secure transfer of money, property or services across multiple blockchains.
These days ICOs are efficiently used for fundraising by companies. Investors who believe in the company’s project, buy the firms’ tokens or coins using established cryptocurrencies like Bitcoin and Ethereum.
The ICO tokens are sold at a later when the value must have appreciated, just like company shares do in the case of initial public offers (IPO). Of a truth, the Vanbex ICO was a successful one, but the company is also facing a legal action.
Elev3n LLC, which used to be a client of Vanbex, based in Philadelphia, sued Vanbex Group on September 29, alleging misuse of funds and copyrighted materials.
Vanbex officials would not comment on the issue. Instead, the Fintech Company is slamming a lawsuit on Kip Warner, its former director of engineering and a plaintiff declarant in the Elev3n lawsuit, for defamation and breach of contract.