2. Bitshares is a TXSRB clean token and will not be subject to SEC or other government crackdowns (happening right now!)
No where do I see the TXSRB explain
why a “Fat Protocol” token fails to meet
the Howey test.
What is the logic?
3. Bitshares is being used to create the STOKENS exchange for issuing and trading SEC-compliant tokens. Most/all ICOs will be moving to Bitshares instead of Ether in the future as companies are forced to follow the rules set by the SEC and other government/regulatory agencies. Already there are many ICOs happening on Bitshares - Smoke, Kexcoin, Bitspark, Satoshi.fund, Bondonblockchain, Crypviser, YOYOW from the top of my head - many more on the go!
7. China is shutting down centralized exchanges; the US and other countries will follow soon. SEC has recently filed charges against a US based-ICO and they are using it to build a model to crack down on all the other ICOs. Decentralized exchanges are the future of trading crypto and Bitshares is the No. 1 DEX on the planet by any metric - transactions per second, scalability, security, volume, adoption, speed, number of assets, etc.
Well there is a likely reason to delist it if an exchange is concerned about securities regulations exposure.
Stokens are presumably the TXSRB’s attempt to subvert nation-state regulations and create a global self-regulated authority, but that does NOT make them SEC-compliant. It makes them a competitor to the SEC’s jurisdiction.
All I see is dire warnings from the TXSRB and no details about solutions:
As we move forward we must both create legal coins and clean up the old mess created by the Swiss, Singapore and other countries who skirted security laws globally. There is a possible path forward with the SEC if nothing nefarious occurred in a company. For those who pumped and dumped, where insiders sold or manipulated markets, where advisors took broker/dealer fees of 25% and added no real value, where investors were purposely lead astray or worse, you can expect no free ride. For the Swiss law firms who represented the bad firms I personally hope they're held personally liable when SEC v. Traffic Monsoon finishes and global jurisdiction and class action lawsuits become the new thing.
A mess was created in Switzerland and cloned in Singapore, Gibraltar, Luxembourg, Estonia and similar countries who promised to magically transform companies into not being companies, with the sole purpose of avoiding global securities & exchange laws, KYC/AML, taxes and provisions to protect investors from fraud. That anyone in Switzerland wants to represent a regulatory authority to tackle the problem they made fortunes creating, now that the founders they guided could face fines and jail time, is sad and ironic.
[…]
(2) Once/if tokens trading on an exchange are deemed securities an exchange must comply with the SEC & FINRA or cease operations and that would include delisting identified toxicoins deemed as illegal, unregistered securities in the hands of non-accredited, un-documented, un-KYC/AML'd individuals who could be bad characters. More than likely the exchange would be shut down as well or at least investigated and sued by the SEC for non-compliance. Hopefully users would have time to take their tokens before/if assets are frozen.
The very bad news is that potentially most tokens and exchanges are illegal and could be investigated or shut down, and the founders/lead engineers/lawyers brought before US courts, regardless of being distributed or autonomous, based on a SEC victory in SEC v. Traffic Monsoon, which could literally see that outcome any day.
The dominoes are falling. On July 25th the SEC let the world know they think some tokens are securities and specifically the DAO token. India, China, Japan, Singapore… announced they are going to regulate some tokens as securities and will likely decide which tokens are, or are not, securities. The SEC could begin investigating individual tokens, creating great inconvenience, cost and damage to the value of that token with the potential years of uncertainty about the outcome weighing on the minds of that specific token’s owners. There is also uncertainty for centralized exchanges, and perhaps even decentralized exchanges, who allowed the DAO token to trade; or how about all of the tokens that will/may be deemed securities trading on those exchanges now.
[…]
The TXSRB is a private organization but is subject to any government-imposed regulations to the extent an applicable governmental regulation or law applies, supplemented by the internal regulation put in place by the TXSRB.
Edit: From the Bitshares Telegram group: Bittrex refuses to comment on reasoning behind delisting and are not willing to enter into a dialogue.
