Is your crypto-crowdsale a security?
Peter Van Valkenburgh went on The Ether Review podcast to discuss the work we have done in educating securities regulators about the finer points of DAOs and other cryptotoken based crowdfunds.
The legal test for what is and is not considered a security is pretty flexible. Beyond the financial instruments that obviously fit the bill, things as weird as orange groves and country club memberships have been regulated as securities too.
DAOs are about as weird as it gets. Things can get muddy very quickly for regulators seeking to understand their purpose and how their work. Recently our director of research Peter Van Valkenburgh went on The Ether Review podcast to discuss the work we have done in educating securities regulators about the finer points of DAOs and other cryptotoken based crowdfunds.
The episode was recorded before theDAO was exploited but foresaw a number of pertinent issues. This makes it an even more interesting primer on the regulatory issues raised by these novel corporate structures.
Listen below: