Video-hosting platform LBRY illegally sold its native token to U.S. investors, a judge ruled. The win for the Securities and Exchange Commission could pave the way for other, more popular digital assets to be regulated similarly to stocks and bonds.
A federal judge ruled Monday that video-hosting platform LBRY Inc. illegally sold its native token to U.S. investors, in a win for the Securities and Exchange Commission that could pave the way for other, more popular digital assets to be labeled securities and regulated similarly to stocks and bonds.
Promoted as a decentralized alternative to platforms like Alphabet’s GOOG, +2.25% YouTube, the service is powered by its native token LBC, which is granted to miners in exchange for helping maintain the system. “Very bad result,” tweeted Gabriel Shaprio, general counsel at the crypto incubator Delphi Labs, pointing out that LBRY’s decision to “premine” a number of LBC tokens indicated to Barbardaro that the company was motivated to work to improve the value of its blockchain for itself and outside purchasers of the token.
The decision could have implications for the most high-profile crypto case being litigated by the SEC — it’s lawsuit against Ripple Labs Inc. and its digital token, XRP XRPUSD, -1.61%.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Judge rules LBRY video platform’s token is a security in case brought by the US SECA U.S. District Court in New Hampshire has ruled that the LBC token used on the LBRY-run Odysee video-sharing website is a security in a case initiated by the SEC in March 2021.
Read more »
SEC wins suit against LBRY in major blow to crypto token issuanceA New Hampshire district court has ruled against decentralized publishing platform LBRY in a legal battle with the SEC.
Read more »
LBRY Sold Tokens as Securities, Federal Judge RulesNEW: A federal judge ruled that LBRYcom violated federal securities laws in selling its LBC tokens, a win for the SECgov, which brought a case last March. cheyenneligon reports
Read more »
New Hampshire Court Sides With SEC in Lawsuit Against LBRY, Project's Team Says Loss Sets a 'Dangerous Precedent' – Regulation Bitcoin News“The language used here sets an extraordinarily dangerous precedent,” the LBRY team wrote on Monday after sharing the news. SECcrypto SEClawsuit
Read more »
Canada's Ritchie Bros to buy U.S. damaged vehicle platform IAA in $7.3 bln dealCanadian equipment marketplace Ritchie Bros Auctioneers Inc said on Monday it would buy U.S.-based IAA Inc in a cash-and-stock deal valued at about $7.3 billion including debt.
Read more »
Ritchie Bros. buying IAA in cash and stock deal valued at $7.3 blnIAA Inc. undefined shares rallied 9.2% in premarket trades Monday after Ritchie Bros. Auctioneers Inc. undefinedundefined said it agreed to buy the...
Read more »