The crypto industry has vowed to fight new rules, but suffered a major loss on Tuesday, when the European Union introduced the world’s first comprehensive crypto trading regulations. In Britain, a parliamentary committee said crypto investing should be regulated like gambling because the highly volatile assets had “no intrinsic value”. Contracts or tokens?POWR has been
Business * The crypto industry has vowed to fight new rules, but suffered a major loss on Tuesday, when the European Union introduced the world’s first comprehensive crypto trading regulations. In Britain, a parliamentary committee said crypto investing should be regulated like gambling because the highly volatile assets had “no intrinsic value”.
Contracts or tokens?POWR has been cited in two SEC lawsuits which attempt to settle a question that lawyers and regulators haven’t been able to agree on: are cryptocurrencies issued by companies just a new form of ownership?
Last July, the SEC filed an insider trading lawsuit in a federal court in Seattle against an employee of the Coinbase trading platform and two of his associates. The three men allegedly made $src.src million by misusing the employee’s insider knowledge about upcoming listings of tokens on Coinbase.
The SEC argues that the POWR token and eight other cryptocurrencies that were the subject of the tip-offs are subject to insider trading laws because they are “investment contracts”.
The SEC is using the POWR token offering, and others, as evidence against the Coinbase defendants.
The SEC cites Powerledger’s explanation to investors in 20src7: “Token holders create a network which gives the platform value, and in return, they receive ownership of the network. Users will
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