SEC warns that Filecoin ‘meets definition of a security’ — Grayscale

The Form 10 would see the companys pre-existing Filecoin Trust product become more comparable to a public company, which would file quarterly reports on its monetary activity.Grayscale said it got a comment letter from SEC personnel on May 16, where regulator then alerted that FIL “meets the meaning of a security” under federal law and asked them to withdraw their application for the trust product. “Grayscale does not believe that FIL is a security under the federal securities laws and intends to react promptly to the SEC personnel with a description of the legal basis for Grayscales position. The Grayscale Filecoin Trust was launched by the asset manager on March 17, 2021 together with comparable offerings for oracle network Chainlink (LINK) and metaverse platform Decentraland (MANA) ANNOUNCEMENT: 5 brand-new products have been included to the @Grayscale line up!Basic Attention Token $BATChainlink $LINKDecentraland $MANAFilecoin $FILLivepeer $LPTInterested?

The Form 10 would see the companys pre-existing Filecoin Trust product become more similar to a public business, which would file quarterly reports on its monetary activity.Grayscale stated it received a remark letter from SEC staff on May 16, where regulator then cautioned that FIL “satisfies the definition of a security” under federal law and asked them to withdraw their application for the trust product. “Grayscale does not think that FIL is a security under the federal securities laws and means to react without delay to the SEC staff with an explanation of the legal basis for Grayscales position. The Grayscale Filecoin Trust was introduced by the property manager on March 17, 2021 along with comparable offerings for oracle network Chainlink (LINK) and metaverse platform Decentraland (MANA) ANNOUNCEMENT: 5 brand-new products have been included to the @Grayscale line up!Basic Attention Token $BATChainlink $LINKDecentraland $MANAFilecoin $FILLivepeer $LPTInterested?

Related: SEC seeks denial of Coinbase petition for impending crypto rulesThis upgrade from the SEC marks an extension of the guard dogs crackdown on crypto products, which has actually just recently come down hard on a number of U.S. crypto exchanges. On Feb. 9 the SEC fined U.S.-based crypto exchange Kraken for “offering unregistered securities” and ordered the exchange to shut down its staking-as-a-service program. Publication: Crypto guideline– Does SEC Chair Gary Gensler have the last say?