SEC issues no-action letter to social media company for its planned Ethereum token

SEC issues no-action letter to social media company for its planned Ethereum token
HeadlinesNewsSEC issues no-action letter to social media company for its planned Ethereum token

Udostępnij

SEC issues no-action letter to social media company for its planned Ethereum token

The Block5 months ago
Published on November 19, 2020 08:09 GMT+0edited on November 19, 2020 08:18 GMT+0

Udostępnij

The U.S. Securities and Exchange Commission's Division of Corporation Finance issued a no-action letter on Wednesday to a social media company that wants to sell an in-house, Ethereum-based token.

The letter, dated November 19, is addressed to IMVU, Inc., which offers an array of social-focused virtual worlds. It notes;

"Based on the facts presented, the Division will not recommend enforcement action to the Commission if, in reliance on your opinion as counsel that VCOIN is not a security, IMVU offers and sells VCOIN, which is transferable both on and off of IMVU’s platform, without registration under Section 5 of the Securities Act and does not register VCOIN as a class of equity securities under Section 12(g) of the Exchange Act. Capitalized terms have the same meanings as defined …