This statement describes Metta Protocol Foundation's position on the classification of $MEPR under United States and other applicable law. It is not legal advice and is not binding on any court or regulator.
1. $MEPR is offered as a utility token
$MEPR is designed and offered as a utility token for consumptive use inside the MEPR ecosystem. Purchasers acquire $MEPR to access platform features, pay for services, stake for reward participation, participate in governance, tip creators, and interact with the community — not as an investment in the profits of Metta Protocol Foundation or a common enterprise.
2. No offering of securities
Metta Protocol Foundation does not offer or sell $MEPR as a security in any jurisdiction, does not represent that $MEPR will appreciate in value, does not promise dividends or profit distributions, and does not solicit investment based on the managerial efforts of the Foundation.
3. Consumptive use, not investment
Users should acquire $MEPR only in amounts they intend to consume inside the MEPR ecosystem. See our No Investment Advice notice.
4. Howey and other tests
MEPR's position that $MEPR is not a security is based, in the U.S. context, on the elements of the Howey test: purchasers do not participate in a common enterprise dependent on the essential managerial efforts of the Foundation to a degree that establishes an investment contract. This position reflects our view of the law as it applies to the token as designed and used.
5. Regulatory uncertainty
Digital-asset classification is unsettled. Regulators, courts, and legislatures may adopt tests, interpretations, or rules under which a token designed as a utility is treated as a security in one or more jurisdictions. See Risk Factors §7.
6. Prohibited representations
Employees, contractors, Ambassadors, KOLs, and community bots are prohibited from representing $MEPR as an investment, from promising returns, and from using securities-like language. See Anti-Touting & Market Manipulation.