{"id":21072,"date":"2023-05-18T00:28:27","date_gmt":"2023-05-18T00:28:27","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/grayscale-says-sec-staff-suggest-filecoin-is-a-security\/"},"modified":"2023-05-18T00:28:27","modified_gmt":"2023-05-18T00:28:27","slug":"grayscale-says-sec-staff-suggest-filecoin-is-a-security","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/grayscale-says-sec-staff-suggest-filecoin-is-a-security\/","title":{"rendered":"Grayscale says SEC staff suggest Filecoin is a security"},"content":{"rendered":"<p><b>(Originally posted on : CoinJournal: Latest Bitcoin, Ethereum &amp; Crypto News )<\/b><br \/>\n<\/p>\n<div>\n<div class=\"post-article-image  -mt-24  mb-8  lg:-mt-32  rounded  overflow-hidden\">\n<picture><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2023\/05\/1684365996075-6c93a8d4-3c3f-432d-9e1b-c9be77635f11-smartcrop-750x375.webp\" type=\"image\/webp\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2023\/05\/1684365996075-6c93a8d4-3c3f-432d-9e1b-c9be77635f11-smartcrop-363x181.webp\" type=\"image\/webp\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2023\/05\/1684365996075-6c93a8d4-3c3f-432d-9e1b-c9be77635f11-smartcrop-750x375.jpg\" type=\"image\/jpeg\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2023\/05\/1684365996075-6c93a8d4-3c3f-432d-9e1b-c9be77635f11-smartcrop-363x181.jpg\" type=\"image\/jpeg\"\/>\n<\/picture>                    <\/div>\n<ul>\n<li dir=\"ltr\">Grayscale says it disagrees with SEC\u2019s staff over suggestions that Filecoin (FIL) is a security.<\/li>\n<li dir=\"ltr\">The letter from the SEC staff was sent on 16 May 2023, after Grayscale applied to list the Grayscale\u00ae Filecoin Trust (FIL) (OTCQB: FILG)\u00a0<\/li>\n<li dir=\"ltr\">SEC staff also believe the meet the Grayscale\u00ae Filecoin Trust \u201cmeets the definition of an investment company under the Investment Company Act of 1940.\u201d<\/li>\n<\/ul>\n<p dir=\"ltr\">Grayscale says it received comment from the US Securities and Exchange Commission (SEC) staff regarding the underlying asset of the Grayscale\u00ae Filecoin Trust (FIL) (OTCQB: FILG) that the digital asset manager was looking to register.<\/p>\n<p dir=\"ltr\">In particular, Grayscale\u2019s <a href=\"https:\/\/www.globenewswire.com\/en\/news-release\/2023\/05\/17\/2671509\/0\/en\/Grayscale-Investments-Shares-Update-Regarding-Grayscale-Filecoin-Trust-Registration-Statement-on-Form-10.html\" rel=\"noopener noreferrer\" target=\"_blank\">press release<\/a> points to a letter from SEC staff sent on 16 May. According to the staff, FIL, the native token of the <a href=\"https:\/\/coinjournal.net\/news\/tag\/filecoin\/\">Filecoin<\/a> cryptocurrency ecosystem, \u201cmeets the definition of a security.\u201d\u00a0<\/p>\n<p dir=\"ltr\">The <a href=\"https:\/\/coinjournal.net\/news\/tag\/sec\/\">SEC<\/a> comment highlighted that this view was taken with an understanding the securities laws.<\/p>\n<h2 dir=\"ltr\">Grayscale disagrees with SEC\u2019s letter that FIL is a security<\/h2>\n<p dir=\"ltr\">The Filecoin Trust appears to also \u201cmeet the definition of an investment company under the Investment Company Act of 1940,\u201d the letter stated. \u00a0The staff therefore requested that <a href=\"https:\/\/coinjournal.net\/news\/tag\/grayscale\/\">Grayscale<\/a> seeks the withdrawal of the registration of the FILG that it had applied for in April.<\/p>\n<p dir=\"ltr\">\u201c<em>Grayscale does not believe that FIL is a security under the federal securities laws and intends to respond promptly to the SEC staff with an explanation of the legal basis for Grayscale\u2019s position<\/em>,\u201d Grayscale said in its press release on Wednesday.<\/p>\n<p dir=\"ltr\">According to Grayscale, it\u2019s difficult to tell whether the US regulator\u2019s staff will agree with it in terms of the assessment that Filecoin is not a security. The company says if their communication fails to persuade the SEC, it may have to seek accommodations in the quest to register the Filecoin Trust.<\/p>\n<p dir=\"ltr\">The company could also go the recommended way and have the Trust dissolved, the statement read.<\/p>\n<p dir=\"ltr\">Grayscale filed a lawsuit against the SEC in 2022 after the agency denied the company\u2019s application to convert its Grayscale Bitcoin Trust (GBTC) into an exchange-traded fund (ETF).<\/p>\n<p dir=\"ltr\">The SEC on the other hand sued <a href=\"https:\/\/coinjournal.net\/news\/tag\/ripple\/\">Ripple<\/a>, the company behind the XRP cryptocurrency over allegations the blockchain firm had been selling unregistered securities. That case has dragged since December 2020, although its conclusion looks to be imminent.<\/p>\n<p dir=\"ltr\">Elsewhere, the agency has been criticized for its approach to crypto regulation, particularly with regard to its regulation by enforcement as seen over the past several months.<\/p>\n<div class=\"post-meta\">\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Share this article<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Categories<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Tags<\/h6>\n<\/p><\/div>\n<\/p><\/div>\n<p><a href=\"https:\/\/coinjournal.net\/news\/sec-staff-suggest-filecoin-fil-is-a-security-grayscale\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : CoinJournal: Latest Bitcoin, Ethereum &amp; Crypto News ) Grayscale says it disagrees with SEC\u2019s staff over suggestions that Filecoin (FIL) is a security. The letter from the SEC staff was sent on 16 May 2023, after Grayscale applied to list the Grayscale\u00ae Filecoin Trust (FIL) (OTCQB: FILG)\u00a0 SEC staff also believe [&hellip;]<\/p>\n","protected":false},"author":13,"featured_media":21073,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/21072"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/13"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=21072"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/21072\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/21073"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=21072"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=21072"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=21072"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}