{"id":4746,"date":"2022-06-07T10:35:30","date_gmt":"2022-06-07T10:35:30","guid":{"rendered":"http:\/\/cryptoheretostay.com\/?p=4746"},"modified":"2022-06-07T10:35:30","modified_gmt":"2022-06-07T10:35:30","slug":"sec-legal-action-over-bnb-token-prompts-fears-over-which-altcoin-is-next","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=4746","title":{"rendered":"SEC legal action over BNB token prompts fears over which altcoin is next"},"content":{"rendered":"<p> <script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/> \ud83d\udc4b Want to work with us? CryptoSlate is hiring for a handful of positions!<\/p>\n<p>The SEC has opened an investigation into Binance to determine whether its BNB token was a security offering when sold in 2017, Bloomberg News reported.<\/p>\n<p>Specifically, the watchdog is examining if BNB\u2019s Initial Coin Offering (ICO) met the definition of a security sale without registration.<\/p>\n<p>A Binance statement on the matter reframed the situation as an \u201congoing conversation\u201d with the SEC, adding that the firm continues to meet all regulatory requirements.<\/p>\n<p>\u201cIt would not be appropriate for us to comment on our ongoing conversations with regulators, which include education, assistance, and voluntary responses to information requests.\u201d<\/p>\n<p>Weighing in on matters, Swan Bitcoin founder Cory Klippsten questioned whether \u201cother centrally controlled and issued exchange tokens\u201d are under threat. Moreover, the same could be said about all ICO altcoin offerings with a central controlling entity, not just exchange tokens.<\/p>\n<p lang=\"en\" dir=\"ltr\">Will the SEC investigation of @binance $BNB affect other centrally controlled and issued exchange tokens that were clearly marketed and sold as profit-making opportunities? https:\/\/t.co\/FBbq1JJhNS<\/p>\n<p>\u2014 Cory Klippsten (@coryklippsten) June 7, 2022<\/p>\n<p>Social media chatter is awash with commentary on the situation and how altcoins, in general, may be affected going forward.<\/p>\n<h2>What now for the altcoin market?<\/h2>\n<p>A Reddit post discussing the securities status of altcoins called for community feedback on the situation.<\/p>\n<p>Based on the relatively low upvotes on any comment, it\u2019s logical to assume the community is somewhat divided on what will happen next for altcoins, or indeed which token is next.<\/p>\n<p>Comments ranged from nothing to attacks against the SEC and its Chair Gary Gensler. Interestingly, one Redditor referenced the ongoing SEC lawsuit against Ripple and said the regulator\u2019s case against Ripple is \u201ccurrently failing.\u201d<\/p>\n<p>Given that XRP is \u201cthe most security-like altcoin,\u201d in the opinion of the poster, it stands to reason that the SEC is unlikely to waste its \u201climited resources on tougher cases.\u201d<\/p>\n<p>One thing that wasn\u2019t mentioned by the poster is the potential legal-setting precedent of the case outcome. A victory for Ripple would ease some of the altcoin community\u2019s concerns. However, the case will likely extend to 2023, making for a long wait.<\/p>\n<h2>Is Bitcoin the only safe play?<\/h2>\n<p>In 2021, Attorney Jeremy Hogan, commenting on the Ripple case, made an assessment of five cryptocurrencies that, in his opinion, are on the \u201cSEC danger list.\u201d Somewhat prophetically, Hogan named BNB and USDT. On BNB, he said:<\/p>\n<p>\u201cIs there investment of money? Yes, you buy the coins. And where did the coins come from? Well, Binance had a genuine Initial Coin Offering, an ICO, in 2017. This is the exact thing that Chairman Clayton and new SEC Chairman Gensler have basically said is an investment contract.\u201d<\/p>\n<p>Meanwhile, Bitcoin maximalist Max Keiser chimed in and said \u201cyes!\u201d BNB is an unregistered security.\u201d<\/p>\n<p lang=\"en\" dir=\"ltr\">SPOILER ALERT \ud83d\udea8<\/p>\n<p>Yes! $BNB is an unregistered security<\/p>\n<p>So is everything that\u2019s not #BTC <br \/>(The @SECGov has ruled that #BTC is *not* a security)<\/p>\n<p>All DeFi definitely is a security (looking at you $CEL)<\/p>\n<p>All NFT\u2019s definitely are too. https:\/\/t.co\/Ux5zX3uzJK<\/p>\n<p>\u2014 Max Keiser: Bitcoin Pioneer \ud83c\uddf8\ud83c\uddfb\ud83c\udf0b\ud83e\udde1 (@maxkeiser) June 6, 2022<\/p>\n<p>Bitcoin has no central controlling entity, and BTC tokens first came into existence by mining, which, in the early days, could be done by anyone with a computer, i.e., there was no ICO.<\/p>\n<h2>Get an Edge on the Crypto Market \ud83d\udc47<\/h2>\n<p>Become a member of CryptoSlate Edge and access our exclusive Discord community, more exclusive content and analysis.<\/p>\n<p>  <strong>On-chain analysis<\/strong><\/p>\n<p>  <strong>Price snapshots<\/strong><\/p>\n<p>  <strong>More context<\/strong><\/p>\n<p> Join now for $19\/month Explore all benefits<br \/>\n<br \/><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/cryptoslate.com\/sec-legal-action-over-bnb-token-prompts-fears-over-which-altcoin-is-next\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>\ud83d\udc4b Want to work with us? CryptoSlate is hiring for a handful of positions! The SEC has opened an investigation into Binance to determine whether its BNB token was a security offering when sold in 2017, Bloomberg News reported. Specifically, the watchdog is examining if BNB\u2019s Initial Coin Offering (ICO) met the definition of a [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":4747,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[3],"tags":[],"class_list":["post-4746","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ethereum-news"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/4746","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4746"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/4746\/revisions"}],"predecessor-version":[{"id":4748,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/4746\/revisions\/4748"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/4747"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4746"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4746"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4746"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}