The SEC approves Ethereum token sale for Pocketful of Quarters
Pocketful of Quarters is just one of two companies to have its token sale approved
The United States’ Securities and Exchange Commission has been nothing if not stringent on anything to do with cryptocurrencies. That’s not to say that there are the occasional projects that get through. Among them is Pocketful of Quarters – an interesting creation from the similarly interesting 12-year-old CEO, George B. Weiksner.
This week, the company managed to successfully obtain a ‘No-Action Letter’ from the commission.
Specifying that POQ may conduct a token sale without needing to register as a security token.
The commission’s Fintech Wing chief legal advisor – Jonathan Ingram – laid out the reasoning behind the decision.
“The Division will not recommend enforcement action to the Commission if, in reliance on your opinion as counsel that the Quarters are not securities, PoQ offers and sells the Quarters without registration under Section 5 of the Securities Act and does not register Quarters as a class of equity securities under Section 12(g) of the Exchange Act.”
Simply put, the ‘Quarters’ themselves will be listed as a commercial product. Not as a security or equity class. At its core, these Quarters allow users to have access to a wholly game-agnostic currency.
Users can buy these coins through Stripe, use them to play games from its growing library, and have the potential to earn even more quarters from playing.
The team is now working in conjunction with both Google and Android to make these Quarters available on mobile.
This makes only one of two that the SEC has provided to companies looking to conduct a token sale. Before POQ, the only other company to receive a non-action letter was the aircraft charter company TurnKey.
Check out POQ’s trailer here.