"I think appcoin sales (often called "initial coin offerings" or ICOs) are a new form of crowdfunding and some can have as much legal merit as a Kickstarter or Indiegogo campaign. On the other hand, when executed inelegantly, some can break the law. One of my goals in this definitive three-part series on appcoin law is to help you tell the difference, and share my experience in how to ICO the "right" way.
To set the stage, many decentralized products incorporate the use of a cryptographic token. Some examples are ethereum (ether), augur (rep) and steem (STEEM). These tokens, known colloquially as "appcoins" are, by and large, fungible and tradeable without significant fees or intermediaries, and are required for the full use of the product. As a result, they have value.
So why not just sell them to fund the development of the product?
Well, sometimes, you can. But sometimes, you really, really can't, at least not legally in the US. That’s because some appcoins can be securities under US law."
http://www.coindesk.com/appcoin-law-part-1-icos-the-right-way/
To set the stage, many decentralized products incorporate the use of a cryptographic token. Some examples are ethereum (ether), augur (rep) and steem (STEEM). These tokens, known colloquially as "appcoins" are, by and large, fungible and tradeable without significant fees or intermediaries, and are required for the full use of the product. As a result, they have value.
So why not just sell them to fund the development of the product?
Well, sometimes, you can. But sometimes, you really, really can't, at least not legally in the US. That’s because some appcoins can be securities under US law."
http://www.coindesk.com/appcoin-law-part-1-icos-the-right-way/