Legal Question in Tax Law in New York

Have a question about cryptocurrency. I just started working on a disruptive token to introduce in the crytpo space platforms in relation to the social & retail service settings. I'm in the U.S. and I am aware of the strigent regulations surrounding the issue of whether or not a token is considered a security. My token involves a proof of work and proof of service concept. Its value will be gained when a person performs an action, and when they do they will receive my tokens for free and then they have the right to give this token to the recipient they deem worthy of it, like giving someone a tip. Is this considered a security? Also, if I wanted further exposure and decide to just put this token on the exchange without doing an ICO or any type of outside funding sort of like the (Doge) would it be considered a security then?

Asked on 2/21/20, 10:59 am

1 Answer from Attorneys

Richard Bryan Richard Bryan Attorney PC

You're going to need a lawyer who specializes in this area, and it's unlike you'll find someone here to answer your question. And most certainly not for free. If you have the financial resources to develop and implement a new cryptocurrency system, then surely you have the money and understanding needed to hire a team of lawyers to help you. My guess is this is a fake question in any event.

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Answered on 2/22/20, 1:30 pm

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