Trump, Dogecoin, Pepe Type Mencoins not the titles, says the dry but the fraud linked to the offer and the sale subject to the application

The Commission for Securities and Exchange said Thursday that the same is not federal laws on securities, although fraudulent activities involving the same can always be subject to legal consequences.

What happened: The DRI finance division said in a press release that cryptocurrencies inspired by memes, characters and current trends and limited features or without functionality are not titles.

This also meant that the parties involved in parts of parts even will not be protected by federal securities laws.

“The offer and the sale of parts even do not imply investment in a company, and it is not undertaken with a reasonable expectation that the profits derive from entrepreneurial or managerial efforts of others,” said the press release, explaining how the asset does not respond to the packaging Howey test Guidelines.

That said, the SEC stressed that the declaration does not apply to assets which are falsely labeled for coins to escape the laws. In this case, the dry “will assess the economic realities” of the project.

See also: The dry investigation against crypto exchange Gemini, said Cameron Winklevoss: “ Another important step until the end of the war against the crypto ”

Why it matters: This announcement comes in the middle of an increase in the volume of same, with January marking a new summit of more than 600,000 new tokens launched in a month.

Hester Peirce, Head of the Cryptocurrency Task Force of the dry, said earlier this month that most mecoins may be outside the agency’s jurisdiction.

President Donald Trump, who has promised to cause a more forgiving regulatory environment for digital assets under his watch, spear her Official trump Trump / USD Just before its inauguration last month. This was followed by the Official Mélanie Melania / USD Launch by the First Lady Melania Trump.

Meanwhile, community -oriented pieces of memes such as Mastiff DOGE / USD And Pepper PEPE / USD were a hot favorite among enthusiasts, generating yields of 102% and 183% in the past year, respectively.

Image via Shutterstock

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Non-liability clause: This content was partially produced with the help of Benzinga Neuro and was examined and published by the publishers of Benzinga.