Tokens as Security?

[Anonymous No.3424129]

Can anyone give me an ELI5 or quick explanation of when a token might be considered a security? Curious to know what the community consensus is

[Anonymous No.3424137]

[Anonymous No.3424155]

>>3424129
XRL

Lot's of people in the +2100 bitpam /biz/ trading/mining/coding discord hold this coin and are worried

discord.gg/VpPrGmF

[Anonymous No.3424189]

>>3424129
There is nothing secure about vaporware anon.

[Anonymous No.3424203]

>>3424129
basically dividends -> security

if it acts like stock share, security

see https://medium.com/@ethbet/changes-to-the-ethbet-token-model-e4eef4923b91
i read recently and contains some info and links to the sources

[Anonymous No.3424204]

>>3424129
If a tokens primary use is not utility, it's a security.

any note, stock, treasury stock, security future, bond, debenture, evidence of indebtedness, certificate of interest or participation in any profit-sharing agreement, collateral-trust certificate, preorganization certificate or subscription, transferable share, investment contract, voting-trust certificate, certifi
cate of deposit for a security, fractional undivided interest in oil, gas, or other mineral rights, any put, call, straddle, option, or privilege on any security (including a certificate of deposit) or on any group or index of securities (including any interest therein or based on the value thereof), or any put, call, straddle, option, or privilege entered into on a national securities exchange relating to foreign currency, or, in general, any interest or instrument commonly known as a “security,” or any certificate of interest or participation in, temporary or interim certificate for, receipt for, guarantee of, or warrant or right to subscribe to or purchase, any of the foregoing

[Anonymous No.3424211]

If they pay dividends they're a security, for example Digix Dao