Blockstack’s Stacks Tokens Could Be Tradable in US Amid New Blockchain Launch

Blockstack’s Stacks Tokens Could Be Tradable in US Amid New Blockchain Launch
Blockstack PBC CEO Muneeb Ali
(CoinDesk archives)

With the launch of a new blockchain – Stacks 2.0 – earlier next year, Blockstack PBC’s cryptocurrency Stacks token (STX) could be available to investors in the U.S. once it is no longer considered a security under U.S. Securities and Exchange Commission (SEC) regulations, according to public documents.

Blockstack, a decentralized computing platform that aims to put users in control of their data and identity, launched a token sale in 2019 after filing , which made the company the first approved to raise capital via a token sale through the securities market.

With the adoption of a fully developed version of the Stacks Blockchain – Stacks Blockchain 2.0, which is anticipated at the end of 2020 or the beginning of 2021 – it means PBC “will play a significantly reduced role in the Stacks Blockchain ecosystem, and no longer will have the ability to, among other things, unilaterally make changes to the Stacks Blockchain, issue new Stacks [t]okens or otherwise, control or even necessarily influence the development of the Stacks Blockchain 2.0,” according to released by Muneeb Ali, the co-founder and chief executive of Blockstack PBC, on Dec. 7.

“If true, this is amazing. Unprecedented,” according to by Marco Santori, chief legal officer at crypto exchange Kraken. “This would represent the first-ever transmogrification of a token from a security to a non-security, where the journey was explicitly blessed by the SEC.”

The Stacks token is considered a utility token of the project and is used by developers and other users on the Stacks Blockchain as a digital “fuel” to facilitate fess for the registration of digital assets.

Following the announcement, went up by 12.25% to $0.266, at the time of writing, according to Messari.

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