8 ms·

https://www.nyse.com/publicdocs/nyse/regulation/nyse/sea34.pdf https://www.nyse.com/publicdocs/nyse/regulation/nyse/sea34.p... You can read the act yourself, a

https://www.nyse.com/publicdocs/nyse/regulation/nyse/sea34.pdf https://www.nyse.com/publicdocs/nyse/regulation/nyse/sea34.p... You can read the act yourself, a cryptocurrency (depending on the type) is not a security by the definition provided. Nor does the cryptographic token have an issuer. Quite literally, most crypto has none of what’s defined under the SEC scope. That said, sure _some_ of the crypto tokens would could count as securities. But even then it’s not clear the exchanges should be the ones being targeted.

jcranmer 3y ago
> The term ‘‘security’’ means any [...] transferable share Funny, that describes virtually every cryptocurrency token I'm aware of. But for all practical purposes, you shouldn't be looking at the definition in the law itself, you should be looking at the case law behind it, where of course the ruling test is the Howey test... "an investment of money in a common enterprise with a reasonable expectation of profit derived from the efforts of others."
- fallingknife 3y ago
  How is it a "transferable share"? When I buy a crypto token what do I own a share of? And you can't say "a share of the total supply of tokens" because by that definition anything is a security, e.g. a gold coin would be a share of the total supply of gold coins. And it has been clearly decided by the courts that such things are not securities. Even things that are much more "security" like, e.g. a piece of a syndicated bank loan, are not considered securities.
yieldcrv 3y ago
I’m familiar with the act Your interpretation is far removed from reality but I appreciate the enthusiasm the act regulates the nature of a specific transaction and therefore does not need a description of the asset itself. It never needed to imagine crypto, or fungible orange groves as the howey test was about, or anything.

jcranmer 3y ago

> The term ‘‘security’’ means any [...] transferable share Funny, that describes virtually every cryptocurrency token I'm aware of. But for all practical purposes, you shouldn't be looking at the definition in the law itself, you should be looking at the case law behind it, where of course the ruling test is the Howey test... "an investment of money in a common enterprise with a reasonable expectation of profit derived from the efforts of others."

fallingknife 3y ago
How is it a "transferable share"? When I buy a crypto token what do I own a share of? And you can't say "a share of the total supply of tokens" because by that definition anything is a security, e.g. a gold coin would be a share of the total supply of gold coins. And it has been clearly decided by the courts that such things are not securities. Even things that are much more "security" like, e.g. a piece of a syndicated bank loan, are not considered securities.

yieldcrv 3y ago

I’m familiar with the act Your interpretation is far removed from reality but I appreciate the enthusiasm the act regulates the nature of a specific transaction and therefore does not need a description of the asset itself. It never needed to imagine crypto, or fungible orange groves as the howey test was about, or anything.