The The states-based Blockchain Association has filed an amicus curiae brief in support of Canadian messenger Kik amongst the house'south legal battle with the Securities and Substitution Committee.

The clan addressed the April 17 brief to the court which is considering the case, asking it to deny the SEC'southward motility for summary judgment and determine the instance narrowly to avoid casting doubt on cryptocurrency projects that have yet to announced earlier the court.

In March, the SEC requested summary judgment, claiming that it possessed "undisputed evidence" that Kik's ICO distributed unlicensed securities.

Non the same equally Telegram's case

Basically, the Blockchain Association says that the courtroom must start determine whether Kik's ICO to accredited investors and token sale to public buyers were, in fact, an integrated sale of securities and urges the court to not use the approach taken in the ongoing Telegram case. The brief reads that:

"Complying with existing securities exemptions past contracting with sophisticated accredited investors amounts to a 'scheme' to distribute unregistered securities to the public at some bespeak in the future. The Telegram decision treats cryptocurrency every bit somehow different from every other manufacture. Following  that decision could undermine innovation in an of import new field of technology while excluding an industry from the same securities law exemptions that are supposed to apply uniformly."

The association further states that the SEC is ignoring the important differences in Kik'southward activities and — as in Telegram'southward example — has provided petty clarity about its ain interpretation of whether and when digital assets are securities.

More crypto firms face lawsuits

In the meantime, several major crypto companies — Binance, KuCoin, BiBox, BitMEX and parent visitor HDR Global Trading Express, and alleged crypto issuers Block.1, Quantstamp, KayDex, Civic, BProtocol, Condition, and the Tron Foundation — are facing class-action lawsuits that had been filed in a New York federal court, earlier in April.

The lawsuit alleges that numerous exchanges have sold unlicensed securities without broker-dealer licensing and engaged in marketplace manipulation.