Gaming Platform’s Coin Offering Draws Securities Suit

Dec. 13, 2018, 4:19 PM

A mobile gaming platform faces a suit alleging it misled investors who acquired CashBet Coins through the company’s April initial coin offering.

Mobile Gaming Technologies Inc. told investors they could use CashBet Coins in virtual casinos with over 4 million players per month, according to the Dec. 12 complaint. But the coins “still cannot be used to access a single online gaming site,” the complaint said.

Although there isn’t yet a consensus on when and how to apply federal securities law to cryptocurrencies, several judges have signaled a willingness to consider securities suits over ICOs.

The CashBet Coins purportedly ...

To read the full article log in.

Learn more about a Bloomberg Law subscription.