A note from Daniel

Howey Test The most famous is a 1946 U.S. Supreme Court case that created what's called the Howey test for deciding what constitutes an "investment contract," another term for a security. The Howey test consists of three elements, or prongs. Applied to digital assets, the test looks at whether an offer or sale of digital assets involves (1) an investment of money, (2) in a common enterprise, (3) with a reasonable expectation of profit to be derived from the efforts of others. All three prongs must be met for the offer or sale of a digital asset to be considered a securities transaction.

Daniel Read Write Own, page 176 · March 22, 2024 Save to shelf
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