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Education

even political intrigue around some crypto businesses,
such as FTX, only heightens the anxiety around
whether action should be taken and how strict the Unlock Your
enforcement should be.

On a correct technical reading of the Howey test, many Growth Potential
crypto tokens look like securities. In some ways, the
burden falls unpleasantly on the issuer of a crypto
token to prove that it is not a security. With a BCP Loan

It is outside the scope of this column to do a deep dive
into each token named by the SEC in its cases, but my
expectation is that at least some of the named tokens
will—at the end of the day—be deemed securities,
placing these two large exchanges off-side and liable for
fines and possibly banning them from being involved
in the securities industry as duly licensed brokers.
Coinbase has money transmitter and virtual currency
business licenses throughout the United States, while
Binance has only some state money transmitter
licenses. Binance is not, for example, licensed in New
York. An adverse finding by the SEC could negatively
impact Coinbase and Binance in the maintenance of
their state licenses.

The legal predicament for both of these exchanges
versus the SEC looks grim to me. That said, if they drop
the more controversial tokens, pay fines and become
registered with the SEC to trade in those tokens that
are securities, there is a possibly bright future for both
of them.

ISOs learned this long ago
ISOs are in the business of selling regulated financial
services. Payment processing by banks is a regulated
activity for which ISOs have carved out a niche that
is complementary to the regulated activity but not as
regulated itself.

Back in the '00s when ISOs started aggregating
transactions, the payment networks, banks and
regulators were upset because they were not able to
see the true identity of the entities for which they were BOCA
processing. CAPITAL

Enter the payfac, which essentially legitimized the PARTNERS
transaction aggregation. The payfac model is pasting
new rules on a practice that was prohibited but
quite common. It looks like the SEC and courts will Get a loan from $100,000 to
eventually do more or less the same with crypto.
$5,000,000 for your ISO today

In publishing The Green Sheet, neither the author nor the publisher
are engaged in rendering legal, accounting, or other professional
services. If legal advice or other expert assistance is required, the
services of a competent professional should be sought. For further Call Now: 844-531-4957
information on this article, please contact Adam Atlas, Attorney at bocacapitalpartners.com
Law email: atlas@adamatlas.com, tel. 514-842-0886.

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