The right clickwrap agreement will protect your assets and business better than a standard contract; it also allows for higher profit potential. I Want One » Certain clickwrap, browserwrap and sign-in wrap agreements may soon be under legal fire. Anyone using — or considering using — these contracts should set aside a minute to read this post. In-Flight Wireless Provider Accused of Using Tricky Clickwrap Agreement And Overcharging Consumers Gogo LLC (“Gogo”) provides airplane wireless services. In fact, it dominates the in-flight Internet connection niche. But if a proposed class action lawsui ..read more

A startup that didn’t invest in a pre-ICO legal consultation decided to shut down after the U.S. Securities and Exchange Commission (SEC) called with some questions. The incident serves as a reminder that startups should consult a blockchain lawyer before an ICO. Protostarr’s Busted Initial Coin Offering A dApp (decentralized application), Protostarr’s creators envisioned a fan-funding platform for artists, online celebrities, and aspiring professional gamers. According to the startup, the plan was to “give a new generation of unsponsored artists the ability to fund their operations while prov ..read more

Months ago, a Quoine (also Quoinex) system glitch triggered an erroneous 3,085 bitcoin transfer. Ultimately, the exchange reversed the transaction. In response, the beneficiary sued. A possible landmark cryptocurrency case, the presiding court may be forced to consider a still unanswered legal question:  Is it legal for exchanges to reverse coin transactions? The Glitch That Triggered A Multi-Million-Dollar “Erroneous” Bitcoin Transfer In mid-April, Quoine ran a hack-prevention script. Unfortunately, the protective program triggered a glitch that artificially lowered Bitcoin’s price on i ..read more

The Bitcoin Foundation wants to establish a “more open and diverse dialogue with the U.S. Congress” because it worries that federal legislation will “stifle the adoption and use of so-called ‘virtual currencies’ such as Bitcoin.” The advocacy group, which envisions “economic participation without a bank account or credit history,” may have reason for concern. Over the past 24 months, several states have implemented cryptocurrency licensing requirements; the SEC issued an ICO alert and Canada responded in kind; China flat out banned initial coin offerings. Bitcoin Foundation Worried About Exces ..read more

Nielsen Media Research unveiled plans to assess esports viewership. The service is meant to help brands make better sponsorship decisions when it comes to professional gaming events. Howard Appelbaum, president of Nielsen Entertainment, enthused: “There’s a high demand for reliable, independent measurement of value in esports. We’re excited to enhance our client offerings and provide the industry with solutions that will help guide and optimize investment decisions in this exciting, growing space.” Esports Marketing: Global Advertising Advantage It’s little surprise that Nielsen is sidling up ..read more

Esports is on the rise, and so is the esports doping problem. Esports Performance Enhancing Drugs Endurance athletes (i.e., swimmers, cyclists) typically use performance enhancing drugs to hasten recovery times and increase stamina. Esports athletes, on the other hand, want to increase reflexes and improve concentration; so, they experiment with behavior modification drugs, like Ritalin and Adderall. Stimulants are also popular among gamers looking for a pharmaceutical edge. Are There Formal Esports Anti-Doping Programs? In 2015, a Counter-Strike player fessed up to using Adderall for a tourna ..read more

Are in-person Bitcoin sales a crim? Is it OK for U.S. residents to use sites like localbitcoins.com? To answer both questions: In some instances, yes it is; in others, no it’s not. Everything depends on frequency and jurisdiction. Bitcoin Business Crimes: The SEC’s Stance We’re in the midst of a cryptocurrency boom. Unfortunately, inchoate fintech regulations make for unclear transactional parameters. This year alone, at least four U.S. citizens have pleaded guilty to improper fiat-to-crypto currency exchanges. As such, people are asking: “If the SEC hasn’t officially declared Bitcoin and othe ..read more

In the not too distant past, anti-regulation bitcoiner Theo Chino sent a letter to the Uniform Law Commission (ULC), urging the group not to meddle in cryptocurrency just yet. Welp, it appears the panel didn’t heed his advice, because the legislative review body recently green lit the Uniform Regulation of Virtual Currency Business Act. First things First: What Is The ULC? Mainly, the ULC creates state law templates to ensure federal compliance and a degree of — albeit, mutable — national legislative conformity. Yes, states do enjoy significant legislative autonomy, but they’re still beholden ..read more

Here’s some e-commerce marketing advice: Don’t buy fake reviews! We get it; it’s tempting — but also against regulations! And in China, it can land you a five-year stint in the pokey. (A quick a note: Although this cautionary tale unfolds in China, U.S. online sellers should pay attention because similar schemes have found their way stateside. Remember: Businesses are responsible for third-party promotions carried out on their behalves. U.S. e-commerce entrepreneurs probably won’t land in jail for using fake review services; but they could end up in a world of financial hurt, courtesy of crush ..read more

Virtual currencies have been around since 2009 (or 1998, depending on how you look at it); yet, legal and regulatory questions remain. Are digital currencies securities? Is it OK to sell tokens, even if you’re not registered with the SEC or state equivalent? Are Initial coin offerings subject to the Securities and Exchange Acts? Recently, the SEC issued an investor alert (in an attempt) to clarify these quandaries. Let’s review three takeaways from the memo. SEC Cryptocurrency Alert Point #1: The SEC Is Open To Blockchain Opportunities Sure, the Securities and Exchange Commission is a regulat ..read more