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Reblogged by slightlyoff@toot.cafe ("Alex Russell"):

molly0xfff@hachyderm.io ("Molly White") wrote:

pretty remarkable to see Coinbase making the argument that crypto is not like stocks, it's like baseball cards, American Girl dolls, or Beanie Babies

it's the future of finance! except when the SEC comes knocking, then it's just a harmless little toy, your honor

#crypto #cryptocurrency #coinbase

Attachments:

• So for example: one can invest in a baseball or other trading card company, through an instrument that imposes obligations on the company, and that will be a security. Or one can buy baseball cards on the open market, hoping they appreciate in value, and one will have bought a commodity. That remains true even if the company makes representations about plans to create a premier card trading platform, to drive up the value of the cards it sells. Those representations can’t turn baseball cards into securities. Baseball cards are not “shares in the [baseball card] enterprise.” Howey, 328 U.S. at 299. (remote)
• On Coinbase’s secondary-market exchange and through Prime, there is no investment of money coupled with a promise of future delivery of anything. There is an asset sale. That’s it. It is akin to the sale of a parcel of land, the value of which may fluctuate after the sale. Or a condo in a new development. Or an American Girl Doll, or a Beanie Baby, or a baseball card. (remote)