Rob Long and Ross Williams on Texas Lawbook Consider Cryptocurrency Promotion and Regulation

Partners Robert Long and Ross A. Williams authored The Texas Lawbook article titled, “Regulations, Risks & Remedies When Your Brand Is Used in Cryptocurrency Promotion.” The piece explores how corporate brands can become associated with cryptocurrency – whether willingly or unwillingly/fraudulently – and the related regulatory framework in Texas and nationally, as well as remedies for misuse. Specifically, the use of the term “advisor” is considered and how regulators may view such a designation – intended mainly to give cachet to a particular cryptocurrency – as going deeper than just being an affiliated brand, creating potential legal risk. They note, “From a business standpoint, association of a company’s brand and imagery with a business that turns out to be a fraud can damage goodwill or lead to civil suits by the defrauded for the advisors giving the perception that the brands endorsed the cryptocurrency involved in the ICO.” The piece also includes thoughts on how to remedy misuse of a corporate brand, stressing that employing informed counsel is critical.