Hyperledger announces Sawtooth Ethereum integration

Hyperledger Blockchain Consortium announces Sawtooth Ethereum (Seth), a Proof Of Concept integration
23 August 2017   4099

Ethereum developers are to have another way to build enterprise-grade implementations of the open-source technology.

Thus, on August 22nd, Hyperledger Blockchain Consortium reported that “simple” smart contracts (EDCCs) can now be deployed to Hyperledger Sawtooth using “Seth,” the Sawtooth Ethereum Transaction Family. Revealed on Hyperledger's website, a proof-of-concept called Sawtooth Ethereum, or "Seth", has been completed. The integration is to enable the use of Ethereum smart contracts on Hyperledger Sawtooth, Intel's addition to the Linux-led consortium's code.

The Seth family consists of a new client, `seth`, that is used to construct and submit transactions to the network and a new transaction processor, `seth-tp`, that runs the Burrow Ethereum Virtual machine. Thanks to the modular design of Hyperledger Sawtooth, getting the Hyperledger Burrow EVM running under Hyperledger Sawtooth was relatively easy. Transaction processors run in a separate process and communicate with the validation process over a network interface. The Hyperledger Burrow EVM code was wrapped in an adapter but was otherwise left unmodified.
 

Adam Ludvik and Casey Kuhlman
Bitwise IO software engineer and CEO of Monax, accordingly

As a result, Hyperledger Sawtooth gains an EVM implementation as well as adds plans for the following new core features among which are core and family-defined events, transaction execution receipts, batch injection, and on-chain block validation rules.

Sawtooth Ethereum (Seth) by Hyperledger  The architecture of the integration 

According to the report, the next step in the integration is enabling developers with existing web applications and smart contracts to seamlessly transition their work to the Hyperledger Sawtooth platform. As the developers claim, a major part of making this transition possible will be the creation of a `seth-rpc` server that supports the Public Ethereum and Burrow JSON-RPC interfaces.

SEC May Signal Some Flexibility on ICOs

Looks like senior advisor for digital assets and innovation at SEC is not 100% against ICOs
14 December 2018   41

Some blockchain projects may be able to circumvent the requirements of US securities laws by contacting the Securities and Exchange Commission (SEC) for a so-called non-action letter. As SEC consultant on digital assets and innovations Valerie A. Szczepanik explained, such letters will not be issued often, but this does not mean that they cannot be received at all.

I think that’s a way forward for a lot of people who want to implement some of these things that may not exactly fit in the format of the rules that we want. 
 

Valerie A. Szczepanik

Senior advisor for digital assets and innovation, SEC

According to advisor, issuers of tokens have three ways to comply with the requirements of the laws: register an offer of securities, declare an exceptional case, or "make sure they're not a security."

In certain cases, the SEC may decide that “maybe this doesn’t fit the letter of our law or regulation but it fits the spirit and we can accomplish all the goals of investor protection”. In this scenario, the SEC may indeed issue such a letter, which will indicate that its employees do not recommend taking legal measures against a particular issuer.

The letters set forth exactly what the person plans to do or the entity plans to do and if it’s something that the SEC feels comfortable with we can release a no-action letter for exemptive relief saying ‘we can recommend no enforcement action.
 

Valerie A. Szczepanik

Senior advisor for digital assets and innovation, SEC

As reported, her remarks signaling a modicum of flexibility are notable in light of SEC Chairman Jay Clayton’s advice last month to anyone raising money by selling a token that they should “start with the assumption that it is a security.”

Speaking about the principles of recognition of tokens as securities, Valerie recommended to take into account the structure of sales. According to her, only in rare cases the token will not be recognized as a security. Most often, investors expect to profit from investments in such proposals, which is enough to recognize them as the spread of securities.