News & Analysis as of

Securities Token Sales

King & Spalding

Meme Coins: Collectibles, Not Securities.

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On February 27, 2025, the Securities and Exchange Commission’s Division of Corporation Finance (“CorpFin”) issued a Staff Statement announcing its view that meme coin transactions do not involve the offer and sale of...more

Barnea Jaffa Lande & Co.

Crypto as a Security – Applying the Howey Test

A US court recently handed down a landmark ruling addressing the question of whether the crypto token XRP falls under the definition of “security”. The US court ruled that the same crypto token may be classified differently...more

Holland & Knight LLP

SEC v. Ripple: When a Security Is Not a Security

Holland & Knight LLP on

In a monumental decision that will likely have substantial ramifications for crypto industry developers, securities practitioners, and millions of investors and token purchasers alike, on July 13, 2023, the U.S. District...more

DarrowEverett LLP

Should Influencers Be Held Liable for the Promotion of Digital Assets?

DarrowEverett LLP on

The world’s ever-changing technological landscape has led to the formation of new mediums of creativity — mediums that the sports and entertainment industry cannot ignore. Digital currencies, virtual universes, and enhanced...more

Perkins Coie

Digital Asset SEC Timeline - March 2023

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The Digital Asset SEC Timeline serves as an interactive compilation of select SEC guidance, enforcement actions, and speeches relating to the application of the federal securities laws to digital assets. Beginning with the...more

Shipkevich PLLC

Kraken Agrees to Settlement with SEC Including $30 Million Penalty

Shipkevich PLLC on

As of February 9, 2023, the Securities and Exchange Commission (SEC) has accused Payward Ventures, Inc. and Payward Trading Ltd, better known as Kraken, of failing to register the sale of their cryptocurrency...more

Kramer Levin Naftalis & Frankel LLP

The SEC’s Limited Guidance on Crypto Tokens in No-Action Letters

The Securities and Exchange Commission (SEC or Commission) has been accused of “regulation by enforcement” when it comes to the standard for determining whether a crypto token is a security. Part of this stems from the fact...more

Paul Hastings LLP

The SEC Scored Another Crypto Victory in the LBRY Case, but the Sky Is Not Falling

Paul Hastings LLP on

Last week’s wild ride in the crypto-verse started, of all places, in New Hampshire. On Monday, a federal judge ruled that LBRY Credits (“LBC”) are securities, and thus LBRY violated Section 5 of the Securities Act of 1933 by...more

Dorsey & Whitney LLP

Drawing the Line in Crypto Cases

Dorsey & Whitney LLP on

​​​​​​​One of the key complaints about the SEC by crypto enthusiasts is that the line between which crypto coins are securities and which are not is unclear. Many, for example, look at a coin and are puzzled – when is it a...more

BakerHostetler

SEC Chair Stands Firm: ‘Vast Majority' of Cryptocurrency Tokens Are Securities

BakerHostetler on

Takeaways - ..U.S. Securities and Exchange Commission (SEC, or Commission) Chair Gary Gensler reaffirmed his view that the “vast majority” of cryptocurrency tokens are securities, and recent agency enforcement actions...more

Sheppard Mullin Richter & Hampton LLP

Securities and Exchange Commission V. LBRY; Is Your Crypto Project Illegal?

While the crypto community is rightfully focused on the Ripple case to see how the SEC will fare in court on enforcements alleging cryptocurrency offerings are a security, a lesser-known case may provide clarity first. The...more

Latham & Watkins LLP

The Limits of Applying Reves v. Ernst & Young to DeFi and the Perils of Regulating Web3 by Enforcement

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The SEC’s reliance on a nebulous US Supreme Court decision raises important questions for the future of decentralized finance. Reves v. Ernst & Young,[1] a 30-year-old US Supreme Court decision on farmers’ co-ops, is...more

Latham & Watkins LLP

INSIGHT: Crypto - The Pursuit of Sufficient Decentralization

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Recent SEC guidance on digital assets cleared a path for at least certain stable coins or payment tokens to avoid securities regulation. However, Latham & Watkins attorneys say there are still a number of open questions that...more

Goodwin

Node Agreements for Blockchain-Based Tokens

Goodwin on

The method by which cryptocurrency and digital asset companies issue their blockchain-based tokens into the market has evolved, pushed along by regulatory developments and technological advancements. We have observed the...more

Perkins Coie

Blockchain Week in Review - September 2019

Perkins Coie on

U.S. Developments - VanEck and SolidX to Offer Bitcoin ETF to Qualified Institutional Buyers - On September 3, 2019, VanEck Securities Corp. and SolidX Management LLC announced that they are seeking to use Rule 144A of...more

Latham & Watkins LLP

Token Presale Agreements and the ConsenSys Automated Convertible Note

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Latham & Watkins has collaborated with ConsenSys to launch the Automated Convertible Note to help startups raise capital using a traditional financing instrument with an eye toward a future distribution of tokens. In...more

Nutter McClennen & Fish LLP

Fintech in Brief: SEC Staff Provides Additional Clarity on Digital Assets as Securities

Earlier this month, the Securities and Exchange Commission (“SEC”) provided additional guidance on digital assets, which include “tokens” and “coins.” The SEC’s Strategic Hub for Innovation and Financial Technology (“FinHub”)...more

King & Spalding

How Far We Haven't Come: The Revolution Will Not Be Securitized

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While SEC FinHub’s new framework announced last week for identifying crypto-securities suggests continued resistance for those using digital assets to access capital markets, an SEC no-action letter issued the same day to...more

White & Case LLP

ICOs and Security Tokens: FCA Consults on Crypto Guidance

White & Case LLP on

The UK FCA launched on 23 January 2019 its highly anticipated consultation1 (CP19/3) on Guidance for market participants as to where certain cryptoassets sit in relation to the regulatory perimeter - and whether relevant...more

Eversheds Sutherland (US) LLP

CFTC and SEC continue their efforts to regulate virtual currencies and Blockchain-based smart contracts

For those longing for the heady days of the cryptocurrency free-for-all, this November is proving to be the start of the winter of your discontent. The US Commodity Futures Trading Commission (CFTC) and the US Securities and...more

Wilson Sonsini Goodrich & Rosati

The SEC Says Happy Thanksgiving to Token Issuers: What Airfox, Paragon, and a Joint Staff Statement Mean for the Crypto Markets

On the Friday before Thanksgiving, the Securities and Exchange Commission ("SEC") and its staff ("Staff") took a coordinated set of actions that should help further clarify its views on the application of the federal...more

Winstead PC

Federal Court Evaluates When Cryptocurrency May Constitute a Security in a Criminal Case

Winstead PC on

The regulatory framework for virtual currencies is evolving, as federal and state regulators and courts wrestle with the circumstances in which cryptocurrencies are securities. For instance, the staff of the Securities and...more

Wilson Sonsini Goodrich & Rosati

Getting to a Fully Operational Token Platform

This article discusses recommended strategies for token issuers to finance and develop fully operational and legally compliant token platforms through financing efforts and token distribution plans that are structured early...more

Latham & Watkins LLP

The yellow brick road for consumer tokens: The path to SEC and CFTC compliance

Latham & Watkins LLP on

Developing a framework for consumer tokens - With the rapid growth in the development of blockchain technology, virtual currencies and token sales (sometimes referred to as initial coin offerings, or ICOs) in 2017 and...more

Steptoe & Johnson PLLC

How blockchain tokenization could change everything from investing to purchases

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This Houston Business Journal article quotes Steptoe & Johnson Attorney Daniel Nossa. Money, shares in a company or a piece of real estate could all be represented by tokens recorded on a blockchain. It’s called...more

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