The question is whether the elements of a profit-seeking business venture are sufficiently alleged in the indictment, such that, if proven at trial, a reasonable jury could conclude that investors provide[d] the capital and share[d] in the earnings and profits; [and] the promoters manage[d], control[ed] and operate[d] the enterprise. For present purposes, we conclude that they are.
Judge Dearie
Following the
Zaslavskiy case, a New York court Judge has deemed laws that apply to
securites and the asset classes to be applied to Cryptocurrencies as well.
Upon a challenge, the judge said that the
securities laws must be considered to be flexible and may be easily applied to cryptocurrencies as well.
I have three points in mind-
- This will surely protect investors.
- Will this also increase anxiety towards dealings and investment in cryptocurrencies?
- How will Bitcoin get affected?Source-
https://cointelegraph.com/news/breaking-new-york-judge-rules-securities-laws-can-apply-to-cryptocurrenciesThe flexibility is what really matters. When it comes to assets or currency, there are always some universal applications that will be valid for all kind of assets no matter the category. For example, there is no law on assets that will allow that someone else converts what does not belong to him for his own benefit the same way no matter there type of tax law, there is no tax law that will encourage tax evasion of tax fraud no matter how that tax seems to be distinct from other tax laws that have been enacted.
On its implication, the moment the intention of any interpretation is to protect the investors then its all fine because investors cannot protect themselves. While I can lock my phone with pattern or password, it does not mean it cannot be hacked which means there is need for another body to ensure that the people responsible for that security are held responsible whenever there is a vulnerability that most times always lead to loss of property.
The concern here is that, the pronouncement is just an expression of opinion which is subject to different interpretations depending on who is relying on such pronouncement which is why I won't place so much reliance on it or thinking its going to affect bitcoin until the is passed by law makers and sign into law by head of the executive.