Quote from: Come-from-Beyond on January 29, 2014, 05:36:32 AM

Any lawyer here?

I'd like to get comments on the following:

Nxt forgers don't "print" money, so they can't be sued as money emitters. Only BCNext can be.
Once Nxt users r able to lease forging power they can lease it to registered entities and be protected, coz noone can sue them for being money processors.

Looks legit or not?

Not a lawyer, but using common sense, when someone forges a block, he is simply receiving a fee. Sometimes no fee, sometimes big fee, but always the NXT already existed. There can be no printing of money if it is an earned fee. Anyway, the direction is the wrong way, they are receiving not sending, so not money emitter.

Now even for leasing forging power, unless NXT is categorized as money, I don't see how pooling forging power makes anyone a money processor. Leasing forging power does not involve sending NXT, so even if NXT is classified as money, that does not transmit money. I guess the entity that is forging could be attacked as the one that is transmitting NXT, but if it is just paying a contractual fee to the people who leased the forging, it wouldn't seem to be a money transmitter. After all any amount forged is a earned fee and if the agreement to lease forging power says that the people who loan the forging are owed a prorata share of the forging, the distribution of the forged fees is a distribution of earned fees. It would be like if Amazon had a program where a bunch of people could pool their affiliate income and all agreed to share based on number of clicks sent, instead of actual books sold. Any amounts Amazon sends back to the affiliates would be earned income, subject to taxation as revenue and not money transmission. At least that is my educated guess.

The only thing that could ever be construed as anything close to printing money would be BCNext creating the genesis block. However, the clever thing is that at the time of genesis block, the cost basis was 21 BTC, I don't have exact value of BTC at the moment of genesis block, but I think the total would have been less than $5000

Due to the minimal amount, I would think that it would fall under the De Minimis exemptions in most all jurisdictions, basically if the amount is small the law doesn't care too much. This compares to both emunies and etheriums million dollar plus fund raising. The law most certainly care and will do its best to get a share of that sort of windfall.

This could well be the reason the NXT genesis block was closed, $5000 might be the threshold for some jurisdictions.

James