Colorado Authority Investigates 3 Crypto Companies Offering Unregistered ICOs

Colorado's Department of Regulatory Agencies (DORA) has unveiled plans to evaluate 3 cryptocurrency-based companies hosting "unregistered ICOs" in the United States as part of continuing investigation into a practice being applied by phony firms to defraud people.

The ongoing investigation is being done by experienced members of the Division of Securities, some of the Department of Regulatory Agencies (DORA), an "ICO Task Force" convened by the Commissioner in May 2018. 

DORA's proclamation reads in part as: 

“The firms that got the orders are Bionic Coin, Sybrelabs Ltd., and Global Pay Net. Previous orders were submitted to Bitcoin Investments Ltd., Estatex, Bitconnect Ltd., and Magma Foundation.” 

Recently, Commissioner Rome stamped the "orders to show cause" a notice given to a business to confidently defend their case in a court of law by elaborating their business activities. On  August 24 this year, the court issued out orders, but none of the 3 companies has replied back as of the time of press. 

Effortless Money 

Bionic Coin, one of the companies under investigation, promises investors that invest in their crypto (BNC) an awesome boom of their "money without any effort." The site further listed down the logos of media partners like Forbes magazine. The site also encourages users to popularise the coin, especially on social media platforms to stand a chance of getting cryptos in exchange. 

It's the same story for Global Pay Net and Sybrelabs Ltd a.k.a Cryptotarb. Sybrelabs emboldens investors to highly promote and boast about the investment pool and "provides huge percentages of profits for min participation of $25, up to soliciting 'active investment portfolios' of $25,000 or above," according to what the report says. 

Global Pay Net is believed to be an international financial platform that has a native crypto token (GLPN) which equates ownership in the booming business. The firm also promises an 80% stake in the business for all its investors, and it also lists crypto experts as its advisors, of which two listed advisors have distanced themselves from being part of this company.