Joseph Norman Dolley (1860-1940) was the bank commissioner of State of Kansas who pushed for the passage of the first state securities laws, known as the blue-sky laws.

But advocates for co-op boards say there is a loophole in New York State's blue-sky law, the Martin Act, which governs real-estate conversions as well as other types of security sales.

Such regulatory laws are commonly known today as "blue-sky laws"; the phrase is often said to be based on this opinion, although speculative securities were described as "blue sky" in sources published prior to this opinion.

Although Glass-Steagall was enacted during the Great Depression, it was put in place because the Aldrich-Vreeland Act of 1908, the blue-sky laws following 1910 and the Federal Reserve System of 1913 failed to keep the concentration of financial power in check.

While U.S. states maintain some control over securities fraud in a criminal context, and may require licensing of traders in securities under their blue-sky laws, the lion’s share of securities regulation in the United States now falls to the SEC.