Discover and read the best of Twitter Threads about #HoweyTest
Most recents (3)
Guys arguing BTC can be classified as a security under Howey test.
1/8: Let's explore why #Bitcoin and similar #cryptocurrencies aren't classified as securities under the Howey Test. This test assesses whether an arrangement involves an investment contract. #Crypto #HoweyTest
1/8: Let's explore why #Bitcoin and similar #cryptocurrencies aren't classified as securities under the Howey Test. This test assesses whether an arrangement involves an investment contract. #Crypto #HoweyTest
2/8: The Howey Test has 4 key points: an investment of money, expectation of profits, a common enterprise, and efforts of a promoter or third party. Let's break these down for Bitcoin. #CryptoRegulation #Bitcoin
3/8: Investment of Money: Yes, Bitcoin miners invest money in hardware and electricity, but they're not buying an investment contract from a third party. They contribute resources to validate transactions & secure the network. #CryptoMining
🧵
A beginner's guide to securities in the world of #crypto! 🚀
🔒 What is a #security?
In simple terms, a security is a type of financial asset or investment instrument.
It represents something of value that you can trade, like stocks or bonds. 📊💰
A beginner's guide to securities in the world of #crypto! 🚀
🔒 What is a #security?
In simple terms, a security is a type of financial asset or investment instrument.
It represents something of value that you can trade, like stocks or bonds. 📊💰
🔒 How is a #crypto determined to be a security?
Well, it depends on its characteristics and how it's offered to investors.
In the US, the Securities and Exchange Commission (SEC) uses the "Howey Test" to evaluate this. 🧪
Well, it depends on its characteristics and how it's offered to investors.
In the US, the Securities and Exchange Commission (SEC) uses the "Howey Test" to evaluate this. 🧪
1/12 Regardless of how the SEC's claim against @Ripple plays out, note that the worst case scenario right now is that #XRP trading will only stop in the US.
#xrpcommmunity #xrparmy #xrpthestandard #Bitcoin #Ethereum #Litecoin #BTC #ETH #LTC
#xrpcommmunity #xrparmy #xrpthestandard #Bitcoin #Ethereum #Litecoin #BTC #ETH #LTC
2/12 Most trading of #XRP already happens outside the US. The rest of the planet sees XRP as a currency. Trading overseas will go on. Even if on the off chance the SEC is able to get a ruling that says XRP is still a security, a BD/ATS can offer XRP for trading to everyone.
3/12 Also at some point, ownership of #XRP will be decentralized enough that there will be no question that it is not a security. It appears node ownership is already decentralized enough around the globe.
