Detailed Cryptocurrency Statement from SEC: Security Uncertainties are Being Resolved! - Coin Bulletin

The U.S. Securities and Exchange Commission (SEC) recommended that more comprehensive and detailed explanations be made in cases where tokens may be considered securities for cryptocurrency companies.

The SEC (SEC) has issued a new statement to clarify uncertainties regarding how crypto assets will be subject to federal securities laws. The published guidance requests companies to provide clear and detailed explanations about their business models and the role of the tokens they use within their projects.

SEC published this latest statement ahead of the second roundtable meeting. The Commission suggested that in the text they published, cryptocurrency companies should clearly state elements such as the content of their activities, the development processes of blockchain networks, the technical specifications of the projects, the rights granted to token holders, and whether the technology used in the projects is open source or not. Another notable point of the statement was that it did not contain a clear criterion for which crypto assets would be classified directly as securities.

The SEC's latest statement does not yet constitute an official regulation or binding guidance. However, the statements made are seen as part of the agency's efforts to clarify its jurisdiction over crypto assets. Previously, the SEC has made statements regarding asset types such as stablecoins and meme coins, and it continues its work to establish clear criteria that the cryptocurrency market eagerly anticipates.

The cryptocurrency sector expects the SEC's steps in this direction to result in clearer and more binding criteria and to reduce regulatory uncertainty.