This is the Cato Daily Podcast for Tuesday, June 11th, 2019.

I'm Caleb Brown.

The general principles that govern new cryptocurrency offerings,

at least in law or regulation, seem not to exist. How does that help or

hinder the market for cryptocurrency? A new enforcement action by the Securities and

Exchange Commission is raising new questions about just what makes a coin qualify as a security

and thus would place it under the purview of the SEC. Diego Zuluaga comments.

Kick is a messaging platform.

There's a lot of competition in that field, and they have unveiled an ICO that will work, I assume, in concert with their messaging

platform that will allow developers to create applications, to engage in sort of trades and that sort of thing.

When I first understood that Kick was doing an I.C. and the company wasn't doing particularly

well, I thought, well, they're just trying to raise money for the company while also circumventing

the standard rules for issuing essentially stock in a company but that you say that's not right.

Well, I think they would disagree with that characterization.

So this was in mid-2017 at the height of the boom in what has become known as initial coin offerings,

which are different types of

cryptocurrency some running on other people's platforms some completely

independent which aim to enable people to deal with each other on a particular network to, as you say,

exchange goods and services and I think the way that Kik would characterize the offering for

kin, which was its cryptocurrency, is that they wanted to increase usage of the network and to monetize

usage in a way that didn't rely on advertising by selling people this crypto that they could

then use to trade with developers to

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