Decentralized social media platform Pal.tech has renamed its token to “Keys” to higher align with its objective, 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 objective higher.
Nonetheless, the title change is but to mirror on-chain, with its contract code nonetheless exhibiting “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 non-public in-app chatrooms and unique content material with the related particular person.
Since its Aug. 10 launch, over 100,000 individuals have been given entry to the platform, with the protocol producing greater than $1 million in charges on Aug. 21.
Group 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 Change 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 workforce 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 seemingly 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. Based on them, the monetary regulator presently targets “the whole lot tradable with worth” beneath its heightened scrutiny of the crypto business.
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