Gary J. Aguirre, security attorney and former investigator with the United States Securities and Exchange Commission (SEC), shared more information about SEC’s recent investigations on Ethereum. How to distinguish a security token and a utility token? Security token is just security. “Under SEC guidelines, if you make an investment, and something you expect to get a profit, and your investment is pooled with others’ in a common project, and you are not actively involved in managing that project, it’s a security.” “A utility token distinguishes from a security token, which must be registered, by saying that it has a utility feature to it. Typically these tokens carry with them many of the property characteristics of the securities token.” “Maybe there is a token out there, that is truly different than a security. But the chairman of SEC, said every ICO I have seen is security. ” “We all know that Bitcoin couldn’t be a security because there was never an offering, there was never a point of time somebody said “I give you some bitcoin, you give me some money”, there was never a sale of any bitcoin to investors buy a developer for money. Bitcoin can’t be a security, but it did happen for Ethereum. Ethereum could be treated as a security. So SEC until recently was investigating is Ethereum a security. If it were security, the consequences would be catastrophic. For example, the SEC could have frozen all Ethers, you can’t transfer Ether anymore.” Please follow Heidi on LinkedIn http://bit.ly/heidiyu Twitter: @heidihanyu Support Heidi's startup: BOOSTO.io Support crypto community: CryptoInfluence.io