Coinbase takes U-turn on its security coins’ listing announcement
Full article – https://medium.com/@cryptorand/interview-with-te-food-team-tfd-61f7549e71f2
The interesting part;
“This is maybe the toughest barrier in the advancement of the crypto economy. The people who followed our project know that we always focused on regulatory compliance. But people don’t know that we went further than trying to interpret the announcements of authorities in the news.
We contacted the SEC equivalent authority of Germany through our partner company, Telenorma AG, and collaborated with them to create a token economics, which can lift us from the gray area where crypto companies exist all around the world. Luckily, the financial supervisory authority was helpful, and after several months of work, the token economics of TFD was born.
As a result, for the first time in the history of crypto, a major securities commission released an opinion, which referred to, that based on its economics, the TFD token is not a security, it doesn’t need a licence under the German Banking Act, or the Payment Services Supervision Act.
What does this result exactly mean? Many companies said that their token is a utility, but many times the securities commission of their country thinks otherwise. The tokenized licence model we worked out is finally one which is compliant with the regulations. The importance of this achievement goes beyond TE-FOOD, it opens new horizons for this whole industry as well.
Many people say Venture Capital is on the sidelines of crypto, waiting for the end of the operation in a regulatory gray area, and we got over this obstacle.”
This is great news for all utility tokens IMO, surely more national authorities are to follow?