March 24, 2023
Investment in blockchain games persists, but developers face a fragmented, confusing, and ill-defined US regulatory environment. Absent comprehensive digital assets legislation from Congress, US federal and state agencies have been tasked with adapting existing legal frameworks to the emerging digital assets industry, with the US Securities and Exchange Commission (the “SEC”) emerging as a prominent, industry-shaping source of regulatory enforcement. This legal update, the first in a series that will explore the boundaries of US regulations impacting blockchain games, untangles US securities law by analyzing guidance from the SEC’s ongoing regulation of digital assets to provide a list of ‘Dos and Don’ts’ for reducing regulatory risk in blockchain games.