Hivemapper CEO hints tokens equal possession, SEC might not prefer it

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On what was an odd Thursday for US-based mapping service Hivemapper, the agency’s CEO and co-founder Ariel Seidman urged that the undertaking’s upcoming HONEY token will signify possession within the platform. This can be a curious revelation, as any token that represents fairness would seemingly need to be registered with the Securities and Trade Fee (SEC).

There’s no information to counsel that Hivemapper has moved to supply registered securities with the SEC.

Learn extra: Decide guidelines LBRY’s token is a safety — what about XRP?

Hivemapper’s big-name buyers

Hivemapper is a decentralized mapping community, made up of ‘Hivemapper dashcams.’ A form of competitor to Google Maps, however on the blockchain.

Whereas there’s no affordable suggestion that the undertaking’s HONEY token will really provide possession on the platform, there are actually lots of big-name funds invested within the startup: Kyle Samani’s Multicoin Capital, David Sacks’ Craft Ventures, co-founder of Solana Raj Gokal, Solana’s different co-founder Anatoly Yakovenko, and Helium founder Amir Haleem.

The transfer to supply fairness for token holders may come as a shock to the 26 named buyers in Hivemapper’s three raises, nevertheless it’s way more prone to run afoul of the SEC than anyone who’s invested cash within the undertaking.

HONEY has a documentation web page explaining that there’s a “fastened provide of 10 billion HONEY tokens.”

Of the ten billion tokens, 40% are put aside for Hivemapper workers, the muse, and R&D. One other 20% are put aside for buyers — this is able to presumably quantity to round 2 billion HONEY tokens shared between 30+ precise fairness holders.

This leaves 40% of the tokens for ‘contributors,’ who’re primarily people with a Hivemapper dashcam put in of their car.

Learn extra: Helium insiders owned majority of crypto tokens, Forbes reveals

What does HONEY signify?

It’s not completely clear, and whereas Seidman was requested repeatedly about whether or not the token did certainly signify fairness, he refused to remark. The undertaking’s web site merely calls the token a “reward” and is cautious to by no means counsel it represents possession of any sort.

Which means, whereas the token is a reward for taking part within the community, it doesn’t really provide any sense of possession to mappers. As an alternative, it’s a token on a community that affords little however hope that the value will go up.

The 2 listed board members of Hivemapper are MasterClass COO Mark Williamson and Amir Haleem, chairman, CEO, and founding father of Helium. Protos beforehand reported on Amir Haleem’s racing fetish.

For extra knowledgeable information, observe us on Twitter and Google Information or hearken to our investigative podcast Innovated: Blockchain Metropolis.


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