SEC Unveils Cryptocurrency Guidance Framework

The US Securities and Exchange Commission (SEC) has made a significant announcement regarding its stance on cryptocurrency guidance. The agency has categorized digital assets into five distinct groups, providing clarity for projects and investors alike.

The new framework divides tokens into digital commodities, collectibles, tools, stablecoins, and securities. Digital commodities, such as Bitcoin or Ethereum, are considered basic goods traded on markets and are not tied to a single company. Digital collectibles, like NFTs for art or games, focus on fun and scarcity rather than investment returns.

Digital tools, utility tokens that power apps or networks, allow users to pay for services on a blockchain. Stablecoins, pegged to the dollar or other assets, provide steady value for payments and trading. Only digital securities fall under strict securities laws, requiring registration, disclosures, and additional rules.