True. But I think the "ICO" is very clearly in violation of the law. This creates a liability when they are sued by investors who lose money as a result.
Which law specifically do you think is violated?
The Securities Act of 1933, section 5(a) for one. There are others which may also pertain, but I am not a domain expert, and prefer to mention only the one which seems relatively straightforward in its application.
I don't have anything to contribute to this topic on either side, just wanted to say that I am really happy to see these concerns expressed and actually real Acts sited. This kind of discussion is often lacking on the forums.