Jake Chervinsky
@jchervinsky
What do you not understand about crypto law or policy that you wish someone would ELI5?
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Michael Depetrillo
@klassicd
Would the elimination of accredited investor laws solve most of our problems? It seems like it then wouldn't matter what is or isn't a security.
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Jake Chervinsky
@jchervinsky
The opposite, actually! The accredited investor laws are a *deregulatory* exemption allowing issuers to sell securities without complying with the full force of the securities laws (aka IPO). If you eliminate them, you make it even harder. I wrote about this here: https://x.com/jchervinsky/status/1121429980968378368
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Jack
@jackten
I think maybe he means changing the threshold of "accredited investor" to be something more like a knowledge qualification instead of a wealth qualification. Ex: Anyone can become an accredited investor by taking a basic financial literacy test, etc... Would that not be helpful?
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Jake Chervinsky
@jchervinsky
Yes, it would help make private placements (exempt sales of securities) more accessible to retail investors, which would be a big improvement. But it wouldn't avoid the question "are the tokens securities," which would still matter if you want them to do anything interesting onchain other than sit lifeless in a wallet.
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