Decentralized social media platform Pal.tech has renamed its token to “Keys” to raised align with its goal, in response to an Aug. 21 assertion.
Pal.tech, a decentralized app based mostly on the Base Layer-2 community, mentioned the unique title, Shares, was a placeholder that wanted to be modified to mirror its goal higher.
Nevertheless, the title change is but to mirror on-chain, with its contract code nonetheless displaying “buyShares” and “sellShares.”
The decentralized social media functions allow customers to transact keys (previously shares) linked to their most popular personalities. These keys grant customers entry to personal in-app chatrooms and unique content material with the related particular person.
Since its Aug. 10 launch, over 100,000 folks have been given entry to the platform, with the protocol producing greater than $1 million in charges on Aug. 21.
Neighborhood hyperlinks title change to SEC
A number of crypto neighborhood members speculate that Pal.tech’s current actions purpose to mitigate potential authorized actions from the U.S. Securities and Trade Fee (SEC).
DeFi dealer 0xSisyphus populated the speculation stating an alternate interpretation of Pal.tech’s assertion;
“The unique title was good however our authorized staff has suggested us that possibly it’s not a good suggestion to make use of phrases related to monetary markets.”
Lawyer and Seedstarter founder, Jesse Hynes, identified that the platform doubtless didn’t get authorized recommendation earlier than selecting its earlier placeholder title. Hynes mentioned:
“Anybody who determined “shares” was a placeholder title both didn’t get authorized recommendation or blatantly ignored authorized recommendation.”
In the meantime, a number of others argued that the title change won’t cease the SEC from coming after the platform if it chooses to take action. In line with them, the monetary regulator at present targets “every little thing tradable with worth” below its heightened scrutiny of the crypto trade.
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