Compensation for services refers to the payment or remuneration provided in exchange for work performed or duties fulfilled. This can include traditional salaries, wages, or fees for professional activities. In digital asset contexts, it frequently extends to token-based rewards for network participants or protocol contributors. It forms the economic basis for labor and value exchange.
Context
The topic of compensation for services is frequently discussed in the context of decentralized autonomous organizations and blockchain projects. Debates address fair distribution models for token rewards and the valuation of contributions in open-source ecosystems. The regulatory treatment of various compensation forms, particularly token grants, remains a developing area in digital economics.
The SEC has provided a critical, functional carve-out from the Howey Test, establishing a precedent for tokens that compensate verifiable network services.
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