I've researched this a lot. Most people don't have a clue what they are talking about. Message me if you want to know more.
Why not talk about it publicly here and educate more of us in the process?
To answer the OP's question, no.
Registration with the SEC isn't a prerequisite for legal use of something in the US market. Registration with the SEC is to allow access for an investment security to be traded on the US investment market exchanges (i.e., NYSE, NASDAQ, CBOT, etc.)
Bitcoin exists in the US...is legal in the US...can be accepted by merchants for payment in the US...and is considered an asset by the US tax agency. The only thing stopping Litecoin or some other monetary ICO from existing in the same format in the US is the will of the population to accept those ICOs have that use.
For those that don't know (as I didn't), the Howey Test is:
Quote
The United States Congress defined "security" in the Securities Act of 1933 and the Securities Exchange Act of 1934: In the United States, the issuance and sale of all securities must be registered at the Securities Commission or are exempt from the registration requirements.
The "Howey Test" is an effective means of determining whether a financial instrument is an "investment contract" and a "securities". It contains four elements: (1) Investment of Money; (2) Common Enterprise; (3) Expectation of Profits; and (4) Solely from the Efforts of Others.
The "Howey Test" is an effective means of determining whether a financial instrument is an "investment contract" and a "securities". It contains four elements: (1) Investment of Money; (2) Common Enterprise; (3) Expectation of Profits; and (4) Solely from the Efforts of Others.
Apparently the Bytom ICO has already passed the Howey Test review by the SEC. Source Article.
This sets precedence that ICOs could be legally introduced to the US market in formats that don't represent an investment security. This is great news considering all the tangible ways crypto tokens could be used by businesses, consumers, and the market at large.