Monday, July 16, 2018

[Hilarium ICO Talk] SEC “Ethereum is no longer a security”






Ethereum may not be classified as securities anymore.

At a recent Yahoo Finance Summit in San Francisco, US SEC director William Hinman said Bitcoin and Ethereum are not classified as securities.
Because of the remark from the official position, there are a lot of interest and views among investors that this is a favorable factor.

Hinman explains, that if network is decentralized enough, it is difficult to expect that it will be a profit from a third party and it’s difficult to say that it is securities.
The reason is that, it is interpreted that a third party does not act as a manager / administrator who makes profit through business management.

This is not a centralized way of monopolizing information, but it is pointed out.
Hinman also argues that the role of regulators is to resolve the imbalance between investors and solicitors.
Even at this point, it can be interpreted that the factor of decentralization is linked to the existence of securities.

Block-chain networks are ultimately important to the community that supports them, if you are a member of a community, information is shared horizontally and the definition of an existing security will not be totally comprehensive.


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