Memic coins are not securities and, therefore, do not fall under federal laws governing financial instruments according to Securities and Exchange CommissionThe agency has released its official position on the coins of memes, comparing them with the objects of collecting, since their cost “was obtained from speculative trade and collective mood of the market”. According to SEC, memes of memes do not correspond to the definition of securities in accordance with the law, because they “do not generate profitability and do not transfer the right to future income, profit or business assets.” People who buy them are also not considered investments in the enterprise, which means that they are not “investment contracts” that are classified as securities.
Thus, people who sell and offer coins of memes should not register their transactions in the commission in accordance with the law on securities. As a result, buyers are not protected by laws on securities, although this does not mean that scammers can use them to deceive people without consequences. Any fraudulent transaction with the participation of memes may still be subject to law enforcement in accordance with other federal laws and state laws.
The Trump Administration Commission has shows signs of cryptocurrency more friendly to the industry since he took office. This month, SEC agreed Complete the case of application This accused Coinbase of illegal management of an unregistered exchange of securities. The commission also dropped The investigation of the robotWhich encountered accusations of violating the laws on securities thanks to his crypto -readings and sales.
Despite the fact that the commission will not regulate coins of memes, she says that she will still evaluate the “economic realities” of allegedly suspicious transactions in which they participate. Mems should be crypto -aciates ”, inspired by Internet member, characters, current events or trends that are acquired for“ entertainment, social interaction and cultural goals ”, and whose cost is“ intended primarily market, and reflection ”. As a rule, they have “limited or meaningless or functionality”, the commission wrote, and “experience significant market volatility of prices”. Crypto -Activas marked as “coins of memes” in an attempt to evade the rules will continue to be considered as securities if they do not correspond to this definition.