Regulatory ECHO KW7 - Is the dam now broken?
The Venezuelan state wants to cover crypto transfers while the US Securities and Exchange Commission continues to scrutinize ICOs. In Canada, mining contracts may soon be considered securities. For the first time, BaFin has granted the highest regulatory blessing to a security token offering. The regulatory ECHO of KW7.
Anyone who avoids Bitcoin & Co. in crisis-ridden Venezuela in order to enjoy relative value stability must pay fees to Vater Staat in future. The new guidelines of the state crypto taskforce SUNACRIP provide for this.
Accordingly, transfers related to cryptocurrencies are subject to a base fee of at least € 0.25 and no more than 15 per cent of the value of the transferred assets. In addition, there is a limit of crypto transfers to a maximum of $ 600 per month - if you want more, you must obtain permission from the SUNACRIP. But even then, no more than $ 3,000 a month may be moved.
SEC: BLV token is a security
The US Securities and Exchange Commission SEC was able to convince a California court that the BLV token issued by Blockvest is a security. As part of its campaign against (unregistered) Inital Coin Offerings (ICOs), the authority accused Blockvest of selling unregistered securities. After the SEC initially failed with a preliminary injunction against Blockvest, the authority finally could persuade the court to classify the BLV token according to the Howey test as a security. The ICO Guide, which the agency presented earlier this week, emphasizes: "ICOs that are most likely to be securities must be registered with the SEC."
The crypto-skeptical attitude of the SEC is reflected not least in the tough struggle for the approval of a Bitcoin ETF. However, crypto-advocate and SEC commissioner Hester Pierce warned on 12 February against a special treatment of crypto assets:
"So far, we have not been willing to sign a Bitcoin ETF with the SEC. My concern is that it looks a bit like a performance-based approach that judges the underlying Bitcoin market and says that we do not believe that they are adequately regulated. You know, there are many markets that are unregulated, but we still build products on them. That's why I think we have to be very careful with this kind of reasoning.
Hester M. Peirce"
Canada: Mining contracts can also be securities
The Canadian neighbors had a crypto precedent last week. For the first time, the financial regulator in Quebec (TMF) classified mining contracts as potential securities:
"With this decision, the TMF has for the first time decided that an investment offer in connection with the mining of cryptocurrencies can constitute an investment contract, ie a security whose public issue is regulated."
Specifically, these are contracts from crypto-mining provider Technologies Crypto Inc, which received a number of freeze orders earlier this month. Contractors of Technologies Crypto Inc are now required to contact TMF by the end of February.
Read also: Podcast: Bitcoin but not a financial instrument? Berlin Court of Appeal versus BaFin
BaFin allows first STO
There is also a precedent to announce from Germany. However, this looks happier. The Federal Financial Supervisory Authority (BaFin) has given the green light for tokenized bonds for the first time. The company Bitbond may now perform a fully regulated security token offering (STO). The first STO with blessing of Bafin - is the dam now broken?
What is your favorite crypto exchange?
Answer: My favorite crypto exchange is Binance