Shady ICO Issuers Are Taking ‘Bags of Cash’ to Border, U.S. Says

A top financial regulator gave a strong warning June 6 that U.S. scrutiny of initial coin offerings is just getting started.

Securities and Exchange Commission Chairman Jay Clayton, speaking at a conference in New York, said companies raising money through digital-token sales shouldn’t have any illusions that the government will treat them differently than firms participating in traditional stock offerings. He added that the market deserves close attention because the SEC has already seen examples of fraudsters fleeing the country after persuading U.S. investors to back their ICOs.

“I am not going to change the way we approach the offering ...