From VICE
Some ICOs must be registered or they’re unlawful.Recently, startups have managed to raise tens of millions of dollars—occasionally in mere minutes, and sometimes without an actual product attached—on the cryptocurrency and app platform ethereum.
Amid the gold rush, a looming concern has been: How will the US Securities and Exchange Commission see all this, and is it, well, legal?
On Tuesday, the SEC announced that tokens that are sold off in crowdfunding events known as Initial Coin Offerings (or ICOs) in ethereum may be considered securities in some circumstances, and are therefore subject to US securities law. Tokens are digital assets that investors may purchase during ICOs, and they usually have some sort of bespoke functionality—in some cases, voting rights or profit dividends—in the app the investor is buying into.
Well that escalated quickly! So Steemians what do you think this will do for the price of Ethereum or subsequently EOS with this latest event? How will this effect the current wild west of ICOs we see now?
Good post! Ty.
i thought this wouldn't affect eos. US was excluded in the ico.
Well I'm thinking EOS tokens and ICOs on that platform will fall under this in the future too.
I think cryptocurrencies as a whole are here to stay. I don't really think you can put the pandora back in the box. So it may slow ethereum down but in the long run nothing major.
Maybe it counts as a security for write off purposes for Daimler. They bought $100 million worth right? I have no idea, just speculating.
Interesting
i also think this not affect but noboday can sure it @contentjunkie
I'm not sure but I think Ethereum had been launched while respecting those regulation as for EOS tokens they aren't sell as a ICO though it might only be a play on words to some degree, I think it might be enough for them to escape those regulations. EOS has been launched with those regulations in mind if I'm correct.
That said those revelation will affect the prices somewhere somehow...
This is always an interesting concept. US (or any other country) law trying to legislate a global item.
I know EOS tried to address this, essentially asking US citizens to not participate in the ICO... in fact it prevents US ip addresses from buying. This doesn't stop you from buying EOS on an exchange or using a vpn/proxy to buy directly.
Anyone who thought the SEC wasn't going to get involved had on rosey glasses. The government will always find a way to tax its people
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Does this make litecoin more attractive?
I started following Etherium and Bitcoin to actually start trying to invest into something big, looks like the last rush got a lot of people's attention and governments.
Does this mean Bitcoin gets more value since they can't govern it? I believe so, and I also believe get into Bitcoin Etherium and lite coin, just my choices, make your own, but the governments are going to make all transactions in the US taxable and where you have to declare it.
Coinbase is a perfect example, they agree to follow all government rules.
That's where cliff high's theory comes in.
If you put it in a wallet and have the keys, there's no way they can say you have it if you don't have it. And in all actuality it something you don't have. It's in space, it's like a bank account where you have access to the funds but you haven't spent them on anything and your not gaining interest. So what's to tax? If I buy something with it from someone else and we make a direct transaction for example, I send you one bitcoin for one 2 ounce of gold, why should we have to pay the government anything?
They want you to use their fantasy dollars, their worthless paper backed by debt, really?
Buy as much silver and gold as you can, get whatever crypto you believe in and put it in a wallet offline and become your own bank.