The Federal Reserve Board ("FRB") final rule to simplify the electronic collection of checks and funds was published in the Federal Register. The final rule is effective on January 1, 2019. As previously covered, the final rule makes changes to Regulation J, which will (i) simplify provisions concerning electronic check collection, (ii) remove redundant or obsolete terminology and provisions, and (iii) accommodate recent changes to Regulation CC concerning electronic check collection and return provisions. The final rule also amends Regulation J, Subpart B to "clarify that terms utilized in

In denying a Motion for Preliminary Injunction, the U.S. District Court of the Southern District of California determined that the SEC failed to show that an initial coin offering ("ICO") satisfied the characteristics of a "security." The SEC's complaint alleged that Blockvest, LLC ("Blockvest") and its founder, Reginald Buddy Ringgold III, have been offering and selling securities in the form of digital assets called BLVs. According to the SEC, the defendants falsely claimed that the ICO was "licensed and regulated" by any of the regulatory agencies, including the SEC, CFTC and National

The CFTC approved a proposed rule to amend Rule 160.5, which requires certain "covered persons" ( i.e.,FCMs, RFEDs, CTAs, CPOs, IBs, MSPs and SDs) to provide annual privacy notices to customers at least once a year during the life of the customer relationship. The proposed revisions implement the Fixing America's Surface Transportation Act's (FAST Act) December 2015 statutory amendment to the Gramm-Leach-Bliley Act ("GLB Act"). Under the proposed rule, these annual privacy notices would no longer be required where certain conditions are satisfied, i.e., where the covered person: "provides

The DOJ revised its corporate enforcement policies to help companies apply for cooperation credit in civil and criminal cases without wasting resources or impeding court proceedings.

The U.S. Treasury Department Office of Foreign Assets Control ("OFAC") identified two Bitcoin digital currency addresses associated with Iranian nationals on the Specially Designated Nationals and Blocked Persons List. OFAC designated the two Iran-based individuals for their alleged role in facilitating the exchange of Bitcoin "ransom payments into Iran rial on behalf of Iranian malicious cyber actors" associated with the "SamSam ransomware scheme." The designations mark the first time OFAC has publicly attributed digital currency addresses to designated individuals. In a press release, OFAC