Gaming Rewards Firm Pocketful of Quarters (PoQ) Given Clearance From The SEC For Token Sale
It is rare when the United States Securities and Exchange Commission (SEC) gives clearance to any crypto-based businesses. Whenever that happens it becomes something to be cherished within the crypto community. Keeping that in mind, Pocketful of Quarters (PoQ) has been cleared by the regulators to carry out the sale of their proposed “Quarters” tokens.
CONGRATS @BuyQuarters, @weiks & @NYcryptolawyer—this advances the ball for the #crypto industry in the US, one step at a time. Pocketful of Quarters was a key sponsor of the inaugural @wyohackathon—happy to see successes for our sponsor companies! https://t.co/pEyGyZ6Stu
— Caitlin Long 🔑 (@CaitlinLong_) July 26, 2019
The SEC, on their website, wrote:
“Based on the facts presented, the Division will not recommend enforcement action to the Commission if, in reliance on your opinion as counsel that the Quarters are not securities, PoQ offers and sells the Quarters without registration under Section 5 of the Securities Act and does not register Quarters as a class of equity securities under Section 12(g) of the Exchange Act.”
There are two tokens being dispensed. Quarters which are the tokens being minted for use by gamers and Q2 Tokens which are securities that may benefit from the success of the platform.
Although, getting clearance from the SEC doesn’t come easy. To maintain their status as a non-security product, they have to adhere to the following rules:
- “To create an Approved Account, Developers and Influencers will be subject to KYC / AML checks at account initiation as well as on an ongoing basis;”
- “Quarters will be made continuously available to gamers in unlimited quantities at a fixed price;”
- “PoQ will not use any funds from Quarters sales to build the Quarters Platform, which has been fully developed and will be fully functional and operational immediately upon its launch and before any of the Quarters are sold;”
- “PoQ will market and sell Quarters to gamers solely for consumptive use as a means of accessing and interacting with Participating Games.”
Pocketful of Quarters is looking to remove gaming fragmentation from its roots by contributing a universal token for all gaming platforms that engage in their ecosystem. It is meant to tokenize the gaming credits acquired by players while engaging in the game in order to transfer the credits for use later. At the moment, gamers remain with a significant amount of unused credits.