Recent activity by the FTC in court continues to indicate that federal regulators are prepared to take a strong stance on deceptive practices related to cryptocurrency.
In a complaint, filed on February 20, 2018, the FTC alleges that Thomas Dluca, Louis Gatto, and Eric Pinkston engaged in unfair or deceptive business practice, and misrepresented material facts, associated with businesses known as the “Bitcoin Funding Team,” “My7Network,” and “Jetcoin.”
On January 25, 2018, the National Institute of Standards and Technology (NIST) division of the U.S. Department of Commerce released a draft report of Blockchain technology (Overview). Recognizing the growing public awareness of the most well-known application of Blockchain technology – Bitcoin, the Overview draft report provides a high-level discussion of the technical components of Blockchain technology, addressing how data is encrypted, and how the data is verified and then distributed among the participating Blockchain parties. NIST is seeking comments on the scope and completeness of the draft Overview, which are due by February 23, 2018.
The Overview begins with a fairly detailed, yet accessible, overview of the architecture of Blockchain technology, covering both how data that is to be recorded and encrypted in the blocks, and how the individual blocks are then incorporated into the corresponding Blockchain. Discussions of hashing, nonces, forking and Merkle Trees are included, along with helpful charts for those with a preference for visuals.