Jason C

Why LBRY Losing to SEC May Be a Win 2023-01-30

The SEC has gone after LBRY's LBC coin claiming it is an unregistered security. I don't agree with government going after LBRY and think the free market is better at resolving these types of issues. That said, it was pretty clear from the beginning that LBC is a security under US laws. The LBRY team and other ICOs knowingly went against current laws hoping for the best.

Given the current reality, the SEC ruling may help the crypto industry. Over the past 5+ years it seems every new crypto project had an ICO. These ICOs were unnecessary when there were existing coins these projects could've been built on. Instead of building on top of existing coins each new project created their own coin. Now we have 1,000s of single-use ICO coins.

The multi-coin reality that exists today has fragmented the industry for no good reason. There needs to be a better foundation for people to build on. If LBRY and other ICOs are shut down then new projects will be forced to build on top of existing coins. I think this will bring people together and be a win for the industry as a whole.

Instead of ICOs, a few base layer coins can compete on their ability to enable projects. In summary, SEC is bad, but in this case I think the outcome of their actions will be positive.

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