Amid the significant development of the industry, the U.S. Securities and Exchange Commission (SEC) Corporate Finance (SEC) division has developed a perspective on the points of cryptocurrency following a recent call for clear guidance to the industry. The SEC branch attempts to “more clearer on the application of federal securities laws in crypto assets.”
SEC provides clarity on cryptocurrency branches
On Thursday, the Securities and Exchange Commission’s (SEC) corporate finance department released new guidelines on agreement points, confirming that most of these activities are not subject to U.S. securities laws and “do not require registration of commission transactions under the Securities Act.”
The regulator said in a statement that under federal regulations, certain accumulated activities regarding verification verification (POS) networks (POS) networks are not considered securities transactions. The SEC explained that the new guide involves points in cryptocurrencies, which are “essentially related to the programmatic capabilities of public permissionless networks.”
Therefore, these activities, including automatic development with direct third-party validators, self-held competition, and custody of assets representing the interests of clients’ platforms, do not meet the standards of investment contracts under Howey’s tests and do not involve quotations and sales of securities.
Journalist Eleanor Terret stressed that the SEC’s statement “is a big deal for ETF providers who want to provide points” because it clarified that “it is not generally considered as securities trading in this format for the company’s financing department.”
However, the guide notes that it does not address all points practices: “The statement addresses the overall, not all variations of the agreement. Furthermore, this statement does not address all forms of ‘staking’ such as so-called ‘liquid stationary, ”Restaking””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””””” ””.
“Fixed until you do it”?
After the news, SEC Commissioner Hester Peirce said the new guide “provides welcome clarity for Stakers” because uncertainty surrounding regulatory perspectives hinder Americans because they fear violations of securities laws and therefore Americans are reluctant to engage in accumulation activities.
“Providing security is not ‘security’, she confirmed, adding that “artificially limits participation in cyber consensus, undermines decentralization, censorship resistance and reliable neutrality of blockchain neutrality”.
The new guide comes after the industry calls for clear rules-making, a coalition of nearly 30 industry players and advocacy groups urged the SEC to provide clarity. As Bitcoiners reported, the Crypto Innovation Commission (CCI)’s Equity Alliance Proof (POSA) signed a letter to 29 industry giants, to the SEC’s Crypto Task Force on April 30.
The letter acknowledged the SEC’s regulatory shift under the Trump administration, deeming that the existing securities disclosure system is not suitable for corporate services that are fundamentally technical rather than financial.
The Crypto Coalition invites the SEC’s March statement to protect users while enabling growth in Stating Industry, providing principle-based constraints and accumulation services.
However, not all SEC specialists agree to the new guidance. Commissioner Caroline Crenshaw expressed dissatisfaction in a statement Thursday, claiming that “the staff ignored the conflict between its conclusions and the applicable law.”
Crenshaw believes that the analysis of the company’s financial analysis “may reflect what some people want to be the law, but is not consistent with the court’s decisions about storage and long-standing decisions. Hao Precedent, they affirmed “This is another example of “false forgery” that the SEC is doing until we become an approach to encryption – actions that ignore existing laws based on expectations of future changes.”
Total crypto market capitalization is at $3.27 trillion in the one-week chart. Source: TOTAL on TradingView
Featured pictures from NBC News, charts from TradingView.com
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