SEC provided very little new information in the framework, says Chief Legal Officer of Blockchain

Marco Santori, the President and Chief Legal Officer of Blockchain, spoke about the recent framework released by the United States Securities and Exchange Commission [SEC] during an interview with Laura Shin for Unchained Podcast.
The interview began with Shin asking Santori about the things that have become clear with the release of the guidelines. Santori stated that the commission filled in some gaps and reconfirmed some of their “thinking that [they’ve] heard in the past”. However, he stated that the regulatory body gave out very little new information in the framework.
He said,
“[…] But, it does not mean that we didn’t learn anything. In fact, I think we did learn quite a bit. In terms of the no-action letter, probably not all that useful for most crypto entrepreneurs.”
This was followed by Santori stating that in terms of guidance, the commission only summarised their previous stance on the Howey Test. He added that it also mentioned a little bit about the Director of Division of Corporation Finance William Hinman’s brief speech on the test, and some of the factors that made a token similar to a security and less likely to be a security. Santori went on to state,
“[…] So, SEC finally put much of that in writing, adding some, removing some of the bits, but they did a little more than that. They also gave fact pattern at the very end; so, look here’s one fact pattern that we know at least for sure that within this sort of circumscribed set of facts, this thing would not be a security in our minds.”
The Chief Legal Officer further stated that the SEC mainly stressed on Director Himan’s speech, where he stated that the status of a token could be shifted from being a security to a non-security. However, the commission failed to explain the circumstances that make a token a non-security. He said,
“They reconfirmed that [shit from security to non-security] here and they gave a few different facts […] in favor of security status and against security status. So those are the little bit of meats on the bones there.”
The post SEC provided very little new information in the framework, says Chief Legal Officer of Blockchain appeared first on AMBCrypto.
Source: AMB Crypto

Stellar’s $125 million XLM air-drop explained by Blockchain’s Chief Legal Officer

Marco Santori, Blockchain’s Chief Legal Officer and a fintech advisor to the IMF, gave his insight on the recent XLM air-drop, which is the “largest air-drop/giveaway in history” of cryptocurrencies. According to the company’s official website, the first air-drop is scheduled to happen this week.
The company intends to give away a total of $125 million in Stellar Lumens [XLM]. The news of the air-drop was also announced on Twitter.

During this podcast interview by Anthony Pompliano, he spoke about how these air-drops increase cryptocurrency adoption.
Santori said that he got his first cryptocurrency because he accepted them as a form of payment for his legal services. He said, “earning crypto for actually doing work is sometimes really hard”. He added that the most difficult thing about getting into crypto was getting crypto.
Additionally, Santori spoke on how Blockchain as a company provides a portal for people to get into cryptocurrencies and actually buy it instead of working for it or mining it or buying it at some “shady ICO”. He added that they [Blockchain] were looking for a better way to help people buy cryptocurrencies.
Marco Santori stated:
“As a creator, you’ve got a bunch of crypto and you want people to use it, but getting people to use it is them actually having it, so air drops put crypto in the hands of many people. So what an airdrop can do is put crypto in the hands of many people can take crypto out of the hands of just a few usually a few creators and put it in the hands of many people.”
Santori said that with Blockchain, people are actually in control of their cryptocurrencies with their own private key with them and not some intermediaries like banks or financial institutions. He said that unlike other companies, Blockchain does not accept fees for listing and that they do it for users and mass adoptions of cryptocurrencies which is their guiding principle.
He then proceeded to explain that the recently announced Stellar’s XLM air-drop was based on those guiding principles. Marco continued to explain the reason for “free air-drop” saying that it is a “unique crypto element” and said:
“The more the people use, the more valuable each particular coin is in-terms of actual functionality…so if you are a creator you can benefit from these network effects that drive the adoption, that drive the actual functional use of your token.”
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Source: AMB Crypto