Stein has penned a great article for New Cannabis Ventures and we’d suggest is a must read for those companies in the sector looking to go down the ICO route as well as investors and of course attorneys and firms looking to advise on ICO’s in the sector.
The first cannabis ICO I looked at was for a company called Growers International. Like all ICOs it uses a “White Paper” (which it prefers to call a “Green Paper”) instead of a traditional prospectus. I doubt that it was prepared by a securities attorney. (I would suggest that you might add the words “Like, cool” or Yeah, man” between the sentences and it would read like the script of an old Cheech and Chong movie but I do not want to insult Cheech or Chong.)
The other cannabis related ICO I reviewed is prepared more professionally but still, in my opinion, misses the mark by a good country mile. The company is called Paragon Coin, Inc. It is in the process of raising $100 million through the ICO. Just to be clear Paragon supports the cannabis industry, it does not appear that it intends to grow or distribute cannabis itself.
Read the full article at https://www.newcannabisventures.com/the-dangerous-intersection-of-cannabis-and-cryptocurrency-icos/