Grayscale Investments received a comment from SEC on Filecoin
The Security and Exchange Commission reply stated that Filecoin will be considered a security, therefore the Trust can be registered only under the US Investment Company Act
The digital assets investment fund Grayscale Investments published an opinion they received from the US Securities and Exchange Commission (SEC) on the Filecoin cryptocurrency which is behind the Grayscale Filecoin Trust. Earlier in April, the Trust applied to the SEC to register shares of the Trust, under the US Securities Exchange Act
The Securities and Exchange Commission reply stated that Filecoin will be considered a security, therefore the Trust can be registered only under the US Investment Company Act, and according to company report: ‘requested that Grayscale seek withdrawal of the registration statement promptly’
The company announced an appeal as they are not agreeing with the SEC definition of the Filecoin cryptocurrency as a security. They also announced that if SEC is persistent in the definition will ask for dissolution of the Trust.
This news comes in the continuation of recent decisions by the US regulators, in efforts to define the legislation scope around digital assets and cryptocurrency.