Visual representation of Dogecoin and other cryptocurrencies.
Yuriko Nakao |
The Securities and Exchange Commission has released guide It was said Thursday night that most meme securities are not considered most meme securities under U.S. federal law.
“The department’s view is that the transactions of the meme coin type described in this statement do not involve offers and sales of securities under the Federal Securities Act,” the statement said. “People participating in the Meme coin offer and sale are not required to register their transactions with the Commission. Accordingly, neither Meme coin buyers nor holders are protected by the Federal Securities Act.”
It also says: “Meme coins do not constitute any ordinary financial instrument specifically enumerated in the definition of “safety” because, among other things, it does not generate yields or the right to convey the future income, profits or assets of a business. In other words, the Meme coins themselves are not security.”
Clarification is Latest fast rise In this cryptocurrency after President Donald Trump’s election and after the crash in recent weeks. This is another gap brought about by the new government, and the archive has promised to create clearer and more favorable regulatory conditions for the crypto industry and do so quickly.
“SEC recently published a request for digital asset space on Meme coins,” said Ishmael Green, partner at crypto law firm Diaz Reus. “This will drive continued investment in the U.S. cryptocurrency space, as the vast majority of meme coins launched in the past 12 months have released a multi-billion-dollar market cap on U.S. blockchain Solana.”
He added: “(it) also happens to end unnecessary and rash law enforcement actions with the current government’s commitment to the crypto community, which kills innovation and investment.”
DogAfter the news, the original meme coins have hardly changed. Token with Solanawhich has become the preferred host for meme coins – including Official Trump meme coins – Slightly rising.
The SEC describes Meme coins as crypto assets inspired by internet memes, characters, current events, or trends and creates them as a “passionate online community” to buy and trade them.
Because they are “usually used for entertainment, social interaction and cultural purposes, and their value is driven primarily by market demand and speculation… meme coins are similar to collectibles,” the statement said.
It goes on to say that the meme coins are “usually limited or useless or functional…and often accompanied by statements about their risks and lack of utility.”
