Nebulous Inc. and Sia, the parent company for SiaCoin (SC), has decided to do a closed token sale of Siafunds in a closed Tokenized Securities Offering (TSO).

Through a Private Placement Offering Memorandum available on their website, Sia is offering 750 investors from only 6 countries, the opportunity to be part of the sale in March. The six countries eligible for the sale are Australia, Canada, German, Great Britain (U.K), Russia and the United States.

Such an act has angered the crypto-community due to two things. Firstly, it only allows investors from only 6 countries to participate. Using the current number of 195 legally acknowledged countries in the world, this token sale has excluded 189 of them from this sale. This sale even locks out China and South Korea.

The probable reason for locking out 189 countries could be due to the choice of listing the token sale as a security under the SEC (United States Securities and Exchange Commission). I believe what Sia and Nebulous Inc. are attempting to do, is what is known in American slang as ‘going legit’.

This term means that an individual, group of individuals, organization or entity, wants to follow the set laws and regulations of a certain country they reside in. The main goal of doing so is to avoid further scrutiny of their actions by authorities. Sometimes this involves collaborating with the authorities to further both their interests.

This then brings us to the second reason why Sia, the parent company of SiaCoin (SC), has angered so many. The fact that they are doing the sale through the SEC, looks like an attempt to cozy up to regulators in what might be harshly considered as ‘pulling a Judas’ on the crypto community. Judas is known in Biblical terms as selling out The Messiah for 30 pieces of silver.

The regulation goes against the creed set forth by the founder and initiator of cryptocurrencies, Satoshi Nakamoto.

The unknown genius had a vision of a future where world commerce and banking was governed by the people who used cryptocurrencies.

Such an endeavor entailed turning away from regular regulatory entities such as banks, governments, arms of governments like the SEC and other private entities highly invested in the current financial and banking system that only favors the few.

One can only wonder if the die-hard fans of cryptocurrency and blockchain will turn away from the coin that is currently trading at $0.022 at the moment of writing this. The coin has a circulating supply of 32.67 Billion coins and was introduced to us in exchanges around August 2015. Will the owners dump it?

In summary, SiaCoin (SC) and Nebulous have done an unprecedented move by listing their token sale as a security under the SEC. Such an act of cozying up to the authorities is treasonous in the crypto community.

I do believe the company has its best interest at heart as the future probably holds the possibility of crypto regulation. But by capitulating to the authorities too early and having a closed sale, their actions have left many individual crypto owners with a bitter taste in their mouth.