Advisory Notice Regarding Initial Coin Offerings (2017-09-26)

Summary

This is a short public advisory issued by the Guernsey Financial Services Commission (GFSC) warning consumers about Initial Coin Offerings (ICOs), a method of raising funds through the issuance of digital tokens or coins. It notes that no such schemes have been identified as launched in Guernsey but flags that other financial regulators have issued warnings on the topic.

• Nature of ICOs: Describes ICOs as a fundraising method using digital tokens or coins, often marketed as funding development of a digital service or software project.
• External warnings referenced: Links to warnings issued by the UK Financial Conduct Authority (FCA) and the US Securities and Exchange Commission (SEC) on ICOs.
• GFSC guidance: Notes that the Commission has issued its own guidance in response to Frequently Asked Questions on ICOs, available separately.

The notice is informational in nature, intended to raise consumer awareness rather than impose new rules or requirements on regulated entities.