How can SEC rule re -encryption

On February 27, 2025, the US Securities and Stock Exchange Committee Declare Metal currencies, cryptocurrencies inspired by the Internet, jokes, and trends are not considered securities.

News follows a series of to reject Issues by encryption companies, which sparked more debate about the role of metal currencies in the wider ecosystems system. Although this decision provides clearly the need, it may encourage the increasing trend that undermines the legitimacy and future of the cryptocurrency as a whole.

Meme currencies of joke are evolving into the direction of risky speculation

Mimi currencies began innocently with DokwinDigital assets launched in 2013 as a joke. However, over the years, it has turned into a phenomenon, inspiring countless mineral currencies with more than the memes or cultural references as proposals of their value.

Metal currency problem Stagnant: They lack any inherent benefit and work primarily as speculative gambling vehicles.

Basically, it is nothing more than pumps and discharge plans, with an amplification of noise and media before the collapse, leaving investors with no value assets.

the recently The launch of the Donald Trump announced by Trump Meme Coin, which seemed to be an attempt to benefit from its second inauguration, only strengthened the absurdity of this trend. I closely followed the Melania currency, and eventually Mimi is inspired by the former CEO of Binance, CZ’s dog“broccoli“

The past few months have witnessed an increase in similar projects, most of which were created for a few constituent purposes, which confirms the disturbing trend to which the “MG” currency is turned.

SEC announces deadly metal coins outside its judicial mandate despite the risks

SEC, one of the most organizational bodies in the world, seems to be around this direction.

Hyster Pears, prominent SEC Commissioner and Head of the Crypting Action Squad, Stuck About this issue. Pierce Argue These coins, which lack any real commercial purpose or an investment promise, do not meet security standards and thus fall outside the jurisdiction of the Supreme Education Council.

As a result, the transactions that involve these symbols do not require the registration of SEC. Despite the recognition that these currencies lack the fundamental value and often the victim of fraudulent practices, Pierce stressed that the committee is not considered securities because of its speculative nature mainly.

It provides a worthy clarification of observation official A position on Meme currencies, confirming that these symbols work like holdings more than investment tools.

Foundation Finance Department specific Its value is mainly driven by demand in the market, the noise that is moved by social media, and pure speculation. This confirms that the Meme currencies do not meet the characteristics of traditional securities such as stocks or bonds, which generate income or represent ownership in the company. He also admitted the possibility of fraudulent activities within the area of ​​the MIM currency, but she made it clear that such procedures can be addressed under other laws.

While this clarification may provide temporary peace of mind for the encryption market, it raises many important questions about the long -term consequences of Mimi currencies on the industry.

Meme Coins threatens the safety of Crypto

Representative coins opposite Of the original cryptocurrencies. It is designed as decentralized assets with the real world’s use and concrete value.

Buyers who hope to take advantage of the Meme currencies are often seduced by promising the massive gains in the short term, just to let them hold the bag when the noise dies. Moreover, many MEME creators employs serious tactics such as “PRUD PULLS”, where developers pull liquidity from the currency, making investors high and dry.

Even projects with legitimate intentions are often very volatile, are abandoned frequently, or are tampered with to serve the interests of the first investors.

This culture of noise, manipulation and fraud is not only harmful to investors, but to the credibility of the ecosystem of the entire encrypted currency.

Mimi currency risk

When Meme coins become widespread and widely accepted, they risk converting cryptocurrency into a side width, overcoming more dangerous and stable projects.

It is a problem at the level of industry that the SEC decision is unintentionally nourishing, which sustains a course of speculation that can eventually lead to great financial losses for unprecedented investors.

The ruling may be aimed at clarifying the organizational guidelines, but it does not do much to address the basics problem On hand, the prevalence of assets that are not a little more than a form of digital gambling.