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Re #1: in theory, could we require companies like Binance to disclose how they are structured, and to declare a priori the legal rationale for why this is allo
by omginternets 5y ago
Re #1: in theory, could we require companies like Binance to disclose how they are structured, and to declare a priori the legal rationale for why this is allowed? The idea here is that they would be bound to that particular legal theory in the event of regulatory investigations.
Or does this run afoul of some constitutional issues?
- vmception 5y agoIts more of a business decision of the government, as well as risking the need for a complete overhaul of contract law. Jurisdictions are in competition with each other. While the business can always form a local subsidiary shielded from the rest while pooling most processes. Binance already has Binance US, for example. A lot of people dont like the idea of governments having overlapping conditions of a business, but it is something you can rely on. They can shoot themselves in the foot all they want. A no action letter from the SEC, for example, does limit a business to a specific unchanging structure and circumstances. But people arent going to risk going to the regulator to find out. I get that you are thinking of a requirement in advance. Bye bye businesses if you try that.
- rosndo 5y agoThat would simply be ridiculous. It’s the governments job to explain why something you are doing is illegal, not the other way around.