Jay Clayton, chairman of the US Securities and Exchange Commission (SEC), has certified that it may happen that cryptographic assets that were once considered securities by the committee will not be treated as securities later.
It was discussed last June that William Hinman, head of the corporate finance department of the US SEC, commented on whether Eisa (ETH), a native token of Ethaliam, would be considered securities.
According to a standard called “Howey Test,” the US SEC has a policy of regarding all cryptographic assets issued by corporate groups that investors expect to earn as securities.
Hinman said at an interview that “the sale and trading of Esa at this time does not affect securities trading,” suggesting that the speculation boom’s leaving cryptographic assets are not considered securities.
In response, CryptoMedia’s Coin Center sent a letter of inquiry to Mr. Clayton, chairman of the US SEC, asking if he, the head of the committee, would agree with him.
Mr. Clayton responded as follows this month, about five months after the submission of the questionnaire at the end of September last year.
We agree with the analysis (Hinman’s) that “digital assets are not necessarily securities in nature, and whether they should be regarded as securities will change depending on the situation. Digital assets meeting the definition of investment contracts are Even if it is sold or traded as a security, it may not be considered as a security if it no longer meets the definition of the contract. “
Etherium is the originator of the blockchain platform, and serves as the basis for distributed applications (DApps) that leverage smart contracts.
The platform’s native token, Ether (ETH), is a fee (called Gas) for the execution of smart contracts and a currency that is traded as a reward for network maintenance, thus the right to use the platform and join the network. The token that represents is called a “utility token”.
Hinman’s analysis that “digital assets are not necessarily securities in nature” is considered to be securities if utility tokens themselves are not securities, but have speculative value, as in the case of Esa. It means that.
Author: Yuya 【Coin Desk News】 – Source Post: https://crypto-times.jp/sec-jay-clayton-eth-not-security/
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