The interesting thing about that settlement is the SEC didn’t go after block.one’s token as it exists today. They were looking at the token used initially to raise funds. And they’re doing the same thing in Kik’s case. The case is about the token distribution, not about whether or not Kin today is a security. Similar to how ether is not a security today, though it may have been at the time of its initial sale. So we have a situation where we know that you can get to a place where these tokens are not securities, but it’s still not clear how to get there without having this period of time where something is a security. These cases could play out in multiple ways. But it’s not helpful for the SEC to look back and be like, “Well, that offering, you know, wasn’t registered, that was wrong,” because there’s still no clear pathway on how to get from security to commodity without having to go through that process.
Change Won’t Happen With Chairman Clayton Around: Kristin Smith
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