CryptoFed DAO files with US SEC for approval of stable tokens

CryptoFed DAO filed two forms with sec, namely Form 10 and S-1, to get approval to register their Locke and Ducat stable tokens tradeable and transferable.

CryptoFed is a Wyoming based blockchain firm. This firm created two tokens, Locke & Ducat. And these tokens will remain out of inflation and deflation. 

The CryptoFed team claimed that these two tokens will provide better stability and can be used for daily life use like payment transactions in between the business or individual. Team also explained that the Locke is a governance token that will be used for stabilizing Ducat and creating rules for the ecosystem.

According to the filing with the US Securities & Exchange Commission, They will distribute the tokens to the municipalities, merchants, banks, crypto exchanges and other participants in the DAO. 

According to the filed form S-10, Their tokens are waiting to get registered as utility tokens. But as we know that S-10 form is made for the registration of the tokens as securities, so here some contradictory issues may arise. 

And according to the form S-1 submission, they want approval from SEC to register their token to approve for the tradeable and transferable permission. 

Marian Orr, CEO of CryptoFed, stated that their token will different from the existing system and it will be utilize by many govt and non-govt sectors and added 

“The CryptoFed uses the part and parcel of buying and selling between Locke and Ducat to stabilize Ducat through ongoing open market operations similar to those of the Fed.”

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