The SEC is a completely corrupt organization, a wholly owned subsidiary of Wall Street. It's entire modus vivendi is to protect Wall Street's monopoly on global money flows. The ICO phenomena threatens to obliterate that monopoly, and break Wall Street's control of money. Cryptocurrency makes it possible for any individual to issue their own money,... for little more than the price of a cup of coffee.
Baron von Rothschild once said he didn't care who ran a country so long as he ran the currency.
The first consequence of the SEC's losing rear guard action to kill cryptos -- they will fail -- will be to lock America out of the leadership role in the new entrepreneurial age which will be brought about by cryptos.
The SEC was created in 1933 by FDR. who hired the same Wall Street thieves that brought about the Great Depression, and most recently the 2008 mortgage-backed securities global economic collapse. They were put in charge of creating a safe securities/capital markets environment. But they simply saw the opportunity to lock anyone else out of that hen house.
All the US govt financial/economic/monetary institutions are headed by Goldman Sachs alumni, consequently the US "regulatory" institutions are in fact textbook examples of regulatory capture.
The Banksters "own" you,... but not for long.
Other countries will seize the opportunity to sponsor cryptos, and Wall Street will lose, but it will take the US entrepreneurial opportunity along with it.