Will ApeCoin and Yuga Labs make the regulators go ape?

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Will ApeCoin and Yuga Labs make the regulators go ape?
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What does 'utility token' even mean?

meant to invest in things, and ApeCoin DAO very carefully doesn’t promise a profit to its coin holders.The cryptocurrency world favors a different framework for evaluation, which it calls the “Hinman test,” after a speech given by SEC regulator. In it, Hinman suggests that if something is “sufficiently decentralized,” it might not be a security.

Yuga Labs airdropped ApeCoin to people who own BAYC and MAYC NFTS. Stuff you get for free — well, minus some transaction fees — is not a security, say Moish Peltz and Kyle Lawrence, lawyers at Falcon Rappaport & Berkman. That part’s fine. Let’s consider the token distribution and see if that clears anything up. There are 1 billion tokens in total. Here’s who gets what:140 million to “launch contributors,” such asSo Animoca’s contribution here is obvious. What did Andreessen Horowitz do? “They helped in designing the ApeCoin DAO,” says John O’Brien, an outside spokesman for Yuga Labs. Okay, but how? Andreessen’s Mike Manning didn’t respond to a request for comment.

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