You can sell your token in this case right, but you can not sell the airline miles, not in the rule/tos of the miles program, at least that is my understanding.
>> Not to mention you don't own your frequent flyer miles, the airline program does.
>The whole point of Howey is that the details of the ownership structure don't matter, the overall economic effect is what does.
This does not seem the structure or details of ownership, it is flat out whether you own the miles or not.
If you have an example of token that acted more like an airline miles and there is an action against it or because of it I am interested to read more about that token and SEC reasoning.
There may notionally be a rule against it, but you certainly can - my airline will let you transfer them (for a fee in miles) and they certainly know or should know that buying and selling happens.
> This does not seem the structure or details of ownership, it is flat out whether you own the miles or not.
You're the beneficiary of them and have contractual rights to them, whether they're notionally held by some other party or not. If anything the idea that you don't own them makes the argument for it being a security stronger.
Seems pretty dubious when there are well-documented cases of the miles being worth a lot more than the purchase (from the famous pudding guy onwards). Hell, mine explicitly advertises the option to "buy miles".
> there's no common enterprise, there's no expectation of profit derived from the efforts of others
Miles become more or less valuable depending on how well the airline is doing, exactly like how these tokens tend to go.
> Not to mention you don't own your frequent flyer miles, the airline program does.
The whole point of Howey is that the details of the ownership structure don't matter, the overall economic effect is what does.