US SEC Chairman Announces Token Taxonomy Plan
according to Theblock, Paul Atkins, Chairman of the U.S. Securities and Exchange Commission (SEC), announced a plan to create a "token classification method" at the Philadelphia Federal Reserve Bank FinTech Conference, aimed at clarifying which cryptocurrencies are considered securities.
Preliminary classifications include: network tokens, NFTs, and digital utility tokens are not securities, while tokenized stocks and bonds are considered securities. Atkins stated that this classification method will be based on the Howey test (a 1946 U.S. Supreme Court case used to determine if an asset is an investment contract). He pointed out that cryptocurrencies may be part of an investment contract, but this status is not permanent. As networks mature, code is released, control is decentralized, and the role of the issuer weakens, the nature of tokens will change.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Hyperliquid News Today: The Crypto Craze Versus Real Progress—Meme Tokens Face Off Against Privacy-Focused Infrastructure
- Trump's $TRUMP meme coin raises $148M via exclusive dinner, sparking political backlash and regulatory scrutiny over elected officials' crypto profits. - Canary Funds files first MOG Coin ETF, mirroring Bitcoin/Ethereum models, signaling institutional interest in meme coins despite speculative risks. - ZKP's $100M healthcare/finance infrastructure project leverages privacy-focused AI and hardware, contrasting with short-term volatility of XRP/Hyperliquid. - Hyperliquid's $4.9M stress test loss and unprov
Japan’s FSA Tightens Security on Crypto by Requiring Custodians to Register
- Japan's FSA mandates crypto exchanges to use registered custodians post-2024 DMM Bitcoin hack, requiring third-party providers to pre-register with regulators. - The rule addresses regulatory gaps exposing cold wallet vulnerabilities, as Tokyo-based Ginco's breach revealed unregulated external firms handling critical operations. - Parallel initiatives include JPYC stablecoin approval and a 2025 bank-led stablecoin payment pilot under the FSA's Payment Innovation Project. - The FSA plans 2026 legal reform
User Empowerment Fuels Valdora’s $10M TVL Growth in DeFi
- Valdora Finance, a ZIGChain liquid staking protocol, reached $10M TVL days post-launch, now tracked by DefiLlama. - Its non-custodial model enables ZIG token staking with liquidity retention via stZIG derivatives, aligning with DeFi sovereignty trends. - ZIGChain's strategic partnership with Valdora highlights its cross-chain ambitions and growing institutional confidence in its infrastructure. - Despite regulatory risks, the protocol's composability and scalability position ZIGChain as a rising DeFi hub
XRP News Today: BIS Risk Weighting Limits XRP's Function in Bank Liquidity
- XRP's limited adoption by banks stems from BIS's 1250% risk weight on unbacked crypto, not technical flaws. - Ripple tests RLUSD stablecoin with Mastercard/WebBank to enable blockchain-based credit card settlements. - Policy shift in crypto risk weighting is critical for XRP to replace USD as cross-border liquidity bridge. - RLUSD's $1B+ circulation and BNY Mellon backing demonstrate regulated stablecoin viability in payments. - Regulatory barriers persist despite industry progress, keeping XRP confined
Trending news
MoreCrypto prices
More
