„Gold-Backed“ Crypto Token“s Promoter Investigated by Florida Regulators

A German company that claimed to raise $100 million in a 2018 initial coin offering (ICO) is being investigated by Florida financial regulators, CoinDesk has learned.

Florida regulators are investigating Karatbars, a German company that“s been promoting a token tied to a Miami „crypto bank“ without any banking license in the state.

– Karatbars previously issued a cryptocurrency purportedly backed by gold, but CoinDesk has been unable to verify the existence of the mine the company says produced the gold.
– Before it entered the crypto space, Karatbars sold gold products online through an affiliate marketing system that regulators in three countries warned the public to avoid.
– CoinDesk interviewed three of Karatbars“ current „affiliates,“ who said they passionately believe in the company and its tokens.

Here are the links to the research and facts of CoinDesk:

https://www.coindesk.com/gold-backed-crypto-tokens-promoter-investigated-by-florida-regulators

https://finance.yahoo.com/news/gold-backed-crypto-token-promoter-120042883.html?guccounter=2

Author: Leigh Cuen
Oct 4, 2019 at 12:00 UTC Updated Oct 4, 2019 at 19:12 UTC

Keywords:Karatbars, Investigated, Florida, Regulators, Miami, crypto, bank, banking, license,cryptocurrency, gold, goldmine, coindesk, marketing, system, token,