“The U.S. Securities and Exchange Commission (SEC) has published fresh regulatory guidance for token issuers, nearly half a year in the making.
The guidance focuses on tokens and outlines how and when these cryptocurrencies may fall under a securities classification, according to the document.
SEC Director of Corporation Finance William Hinman first revealed that the regulator was developing new guidance for crypto tokens last November, and other members of the agency, including FinHub head Valerie Szczepanik and Commissioner Hester Peirce, have repeatedly said that SEC staff was working on the document.”
Not all pundits are happy with the SECs guidance, calling it still too unspecific. Naturally, this is an important topic for the Tender Economy and its stable currencies. According to the SECs guidelines, we are quite reassured, that Tender doesn’t constitute a security since the four most important criteria are met:
- The “distributed ledger network and digital asset are fully developed and operational” (meaning individuals can immediately use the token for some function);
- The token is focused on a specific use case rather than speculation;
- “Prospects for appreciation” in the token’s value are limited; and
- If billed as a currency, the token actually operates as a store of value.