Bitcoin and Ether Are Not Financial Securities

By Steven Krohn on ALTCOIN MAGAZINE

A few months ago, there was a big debate over the nature of cryptocurrencies. The regulators began to tighten the restrictions on crypto trading. Both the supporters and opponents of digital media were looking to ask one major question.

Are Cryptocurrencies a form of financial securities?

The Nature of Cryptocurrencies

Cryptocurrencies and digital coins have been compared to a lot of things. Bear in mind that Bitcoin was initially envisioned as a type of digital currency that would one day replace fiat currency.

Bitcoin and other digital coins can offer the three fundamental characteristics of currencies. They can be a store of value, a medium of exchange and a unit of accounting.

One of the prime drivers toward Bitcoin adoption was that it was similar to a financial instrument.

Other crypto platforms like Ethereum, Dash and Ripple were similar in many ways . When these platforms were launched, their developers advertised that the coin would be introduced on the public…