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The original position was that cryptocurrencies were commodities not securities, and that is what allowed all the bullshit to flourish. In July of 2017 the SEC
by DebtDeflation 4y ago
The original position was that cryptocurrencies were commodities not securities, and that is what allowed all the bullshit to flourish. In July of 2017 the SEC issued a ruling that any coin issued via ICO could be considered a security on a case by case basis. Yesterday is the first time I've seen the SEC make the argument that exchange native tokens are investment contracts and therefore securities.
- ls15 4y agoExchange tokens are amongst the more obvious securities IMO. I think they tick all marks of the Howey Test: - An investment of money (Send money/BTC, get token) - In a common enterprise (the exchange) - With the expectation of profit (Token burns) - To be derived from the efforts of others (Exchange pays with profits for token burns) https://www.investopedia.com/terms/h/howey-test.asp https://www.investopedia.com/terms/h/howey-test.asp