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A comment on The way airlines are central banks. Parent comment

Re:The way airlines are central banks by breser on Monday July 31, 2023 @12:54PM (#36945452)
See the Howey Test: https://www.investopedia.com/terms/h/howey-test.asp

Airline Miles don't grant you access to a portion of the profits from the airline. They aren't an investment. They are a currency for future travel.

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Re:The way airlines are central banks by wonderwonder on Monday July 31, 2023 @01:29PM (#36946006)
Does the CC companies buying these and then granting them to card holders as a reward qualify or affect the test at all?
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Re:The way airlines are central banks by bombcar on Monday July 31, 2023 @12:56PM (#36945482)
They're a liability of the airline, and they're an asset of the customer, but they are not an investment, because they can only go down in value, not up.

Same as gift cards.

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Re:The way airlines are central banks by Scoundreller on Monday July 31, 2023 @01:01PM (#36945567)
Sometimes the dollar price of a flight goes up but the points price stays the same = points went up.
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Re:The way airlines are central banks by breser on Monday July 31, 2023 @01:04PM (#36945618)
That you can make money through arbitrage is not the definition of a security. See my link above.
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