As far as I know, and as far as my knowledge on stocks and regulations is concerned, giving away dividends to token holders would be considered a security. So the online casino would have to register with the SEC in order to be allowed to offer something like that. And not only do they have to register with the SEC, there is a cornucopia of massive regulatory laws that would need to be considered. Its a lot of work, and to be honest, it probably would get rejected in the end due to not fullfilling certain requirements.
It would be easier to register a security for an IPO.
That was an interesting write up there, thanks for letting us know how these types of casinos work. Never seen anyone in the past that shares this kind of info, now I know why not all crypto casinos are like that where they offer a token and can give dividends but usually they are just operating normally although most of them are still regulated.
Lately there are casinos that works like betfurry, it is possible to pass the complicated process if the gambling company is really serious about their business. At the end of your sentence, you said something about IPO but are that still related to gambling ? I have heard IPO but mostly they are just crypto investments.
Thank you for the compliment.
That knowledge is just something that I make use of when advising diverse CEO's of companies that want to include dividends or anything else which hits the howey test criteria for a security. Usually my consults were in registering an STO (Security Token Offering).
Yes, there are casino stocks you can invest in.
And the process for STO and IPO is basically the same. The only difference is an IPO (Initial Product Offering) is the "classical security". If you want to do a STO then you could use a lawyer who knows his stuff on securities and another who understands crypto regulation laws in different countries. That would be a perfect combination for following you through the process of registration and regulation but it is costly. Most avoid it.