The U.S. Securities and Exchange Commission (SEC) has taken the first step in clearly defining the classification and regulation of various forms of crypto assets.
The guidance, published in tandem with the Commodity Futures Trading Commission on Wednesday, represents the agencies’ plan for dealing with digital assets in the future, an effort that represents a coordinated approach to bringing more clarity to the space.
While the interpretation does not yet constitute a rule, it represents a shift in the regulatory approach under SEC Chairman Paul Atkins, an appointee of Donald Trump who has sought to be friendlier to the space.
Atkins said the guidance aims to end years of uncertainty by helping market participants better understand how crypto assets fit within existing securities laws.
U.S. SEC says most crypto isn’t securities in policy shift
Notably, the SEC’s new “token taxonomy” suggests that most crypto assets are not securities, a departure from the stance taken under former chairman Gary Gensler, whose tenure was marked by regulatory ambiguity in the space.
Paul Atkins outlined the new crypto framework at the DC Blockchain Summit, saying the U.S. Securities and Exchange Commission will soon begin a formal rulemaking process, with a detailed proposal expected in the coming weeks.
The plan, which could span over 400 pages, will include an “innovation exemption” aimed at supporting crypto firms.
Alongside the Commodity Futures Trading Commission, the SEC introduced guidance classifying crypto into categories such as digital commodities, collectibles, tools, stablecoins, and digital securities.
Notably, only digital securities would fall under securities laws. Atkins emphasized that this approach refocuses the SEC on investor protection, while also clarifying how activities like airdrops, staking, and mining should be treated under existing regulations.
Selig, Atkins push for clarity
Mike Selig, chairman of the Commodity Futures Trading Commission, said the new guidance finally offers clarity long sought by U.S. crypto builders and entrepreneurs. Atkins of the U.S. SEC added that lasting pro-crypto policy will ultimately depend on legislation from Congress.
Under the guidance, a digital asset is treated as a security only when it is sold as an investment tied to profits from a team’s efforts.
The SEC also clarified that the scope of securities regulation does not include activities such as airdrops, staking, and mining. It seems like the two bodies are getting aligned on this framework, which is very supportive of crypto development in the U.S.