SEC sues crypto project Quantstamp

Quantstamp illegally raised more than $28 million from investors in an unregistered initial coin offering in 2017. This is according to a press release from the Securities and Exchange Commission (SEC).

The crypto project reportedly must not only return the money to its nearly 5,000 investors, but also pay a fine of about $3.5 million. According to the press release, Quantstamp has already approved the measures. Proceeds from the ICO are to be distributed to investors through an SEC fund.

QSP's share price fell 7.5 percent following the news. The token is currently trading at $0.01169. Basically, the SEC views much of crypto coins and tokens as securities, regularly sues them in court and recently demanded a budget increase for the U.S. Senate.