Quote from: XaurumQA on February 13, 2018, 03:29:52 PM

Quote from: Mp777 on February 12, 2018, 10:56:20 PM

I have a question for the team. I read that also Hong Kong is forcing exchanges to delist security tokens (what Xaurum without the doubt is). Securities are state regulated and you can not just come and sell them without permission of the state and strict regulations you have to follow. Now we have USA and HK passing such laws, who will follow?

Do you have some strategies how you will be able to keep the token on markets in case other countries follow with such regulations?

I see people bragging how Xaurum has "real value" and other tokens are just "thin air", and this has become a serious problem now. If such regulations will follow also in other states, I would rather have "thin air" that can be traided/sold than "real value" that can be only exchanged for gold (at 0.06 I think).

Can we get some official answer please.
Thank you.

Hello!

We are actively following all the regulation changes. However legislation in the field of cryptocurenncies will be further developed and modified. Certain exchanges follow and even take various measures themselves on the basis of only the envisaged changes in legislation. Otherwise, there are different parameters for determining whether a particular item falls under security, but there are no exact legal provisions.

The Howey Test is one of the most important tests that is widely used to determine whether tokens qualify as securities. It was introduced in 1946 in the U.S. Supreme Court case of SEC v. W.J. Howey Co., 328 U.S. 293 (1946) as a contract, transaction, or scheme whereby a person invests his money in
a common enterprise and is led to expect profits solely from the efforts of the promoter or a third party. The form of contract was found to be immaterial so long as the investment met the test criteria. Over the years, various courts broadened application of the test interpreting it wider and wider. Today, the Howey Test includes the following definitive prongs all of which have to be present to satisfy the test for securities:

- An investment of money, which is broadly defined and includes any consideration with value
- Into the common enterprise, which is further defined by different courts as a vertical and/or horizontal commonality of risks and profits among investors in some proportion
- With the expectation of profits, which is also broadly defined as any form of capital appreciation, cash return on investment or other earnings such as dividends and interest
- Solely from the efforts of the promoter or a third party, whose actions must play a significant role in the success of the business.

Based on this test almost every cryptocurrency (including Bitcoin) can be defined as security or the same parameters can be used to prove the opposite, depends on the quality of your legal representatives ;-)

That said, even if some projects and tokens will be fairly or unfairly marked as securities there will always be exchanges that will enable trading with them.

I will just leave this here: https://imgur.com/a/70RD5

This picture is just symbolic picture but it represents a real state...