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0/ Yes, I may write more, but I mostly agree with @MattCorva. The SEC's rules still aren't as clear as places like Singapore, UK, and France, but I'm hopeful this will still give law firms, projects, investors, and customers sufficient clarity to start doing business again.
1/ Overall, on a quick read, I didn't see any big surprises. I think the SEC continues to signal that it supports the creation and distribution of consumer utility tokens consistent with the principles we've been talking about @TheBKP_Official and @ConsenSys.
2/ For example, things like the @TheBKP_Official's consumer token framework (thebkp.com/s/consumer-tok…) and tools like "proof of use," which are helpful for having a successful launch by accomplishing objectives of the SEC and seeding strong user basis for new products.
3/ Also, I also think the SEC's new framework is largely (if not entirely) consistent with the safe harbors enacted in #WY and #CO (cc: @CaitlinLong_ ). Here are the highlights of those safe harbors:
4/ I think we're still missing some clarity from the SEC on how best passive investors can support token projects and enjoy some (deserved) upside the potential success of the platform without jeopardizing the status of the token or its ability to launch.
5/ But I think we can solve those, and we're working on a few things that I hope will help.
6/ I think the SEC's framework doesn't do enough to acknowledge that tokens, just like every other consumer good, can trade on marketplaces (eg: ebay) and appreciate in value. And that doesn't make the good itself a security.
7/ And I think the SEC should acknowledge that has to be the case even if a central party continues doing business in selling/enhancing their product, as is the case with most normal consumer goods (companies don't typically release a product and immediately disband).
8/ But I understand why the SEC is being cautious in announcing those clarifications.
9/ Only time will tell, but I hope this provides enough clarity to break out of the paralysis that is currently gripping the industry in the US, especially because the tech is catching up with the hype and we'll start seeing many more tokens that are actually usable software.
UPDATE: Fwiw, agree with @msantoriESQ: transferability is important. I don't think SEC is saying never. As tokens become usable software, likely treated more as tradable goods/commodities. Til then, probably follow #WY #CO and proof of use approaches
UPDATE: If you want to comment or ask questions on the SEC's guidance, you can do so directly inline at @TheBKP_Official: thebkp.com/s/sec-announce…
