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How were they audited?

You can absolutely legally register your cryptocurrency as a security. The requirements just make it a non-starter.

There's is nothing inherently different between cryptocurrencies and securities. The accounting is irrelevant. If you promise people that their money will increase in value if they invest, then you need to register as a security if you want to sell to retail customers. You can continue selling the unregistered securities all you want to professional traders.




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