Cleveland.com | Full Article
U.S. Rep. Warren Davidson of Ohio announced Monday a plan to regulate cryptocurrency and initial coin offerings through the federal government.
An initial coin offering is when a company begins to sell a cryptocurrency in the form of tokens. There are a limited amount of these tokens, which is what gives them value. Investors can pay for these tokens with money or existing cryptocurrency. Because these tokens sell quickly and run out, it gives the company a wave of money that it can use to build a product.