SEC DROPS FRESH CRYPTO CLARITY ON STAKING & TOKENS
The SEC’s Division of Corporation Finance has released fresh crypto guidance covering staking receipt tokens, token buybacks and functional networks.
🔹 Certain staking receipt tokens may qualify as digital commodities/tools rather than securities, depending on their structure.
🔹 Buybacks on functional networks generally don’t, by themselves, constitute the “essential managerial efforts” required under Howey.
🔹 Routine network maintenance and improvements generally don’t automatically create securities implications.
IMPORTANT: This is SEC STAFF GUIDANCE, not a binding rule or blanket exemption. The analysis remains fact-specific.
Meanwhile, Hester Peirce continues advocating privacy-preserving alternatives to excessive KYC data collection ahead of her October 2 departure.
The SEC’s Division of Corporation Finance has released fresh crypto guidance covering staking receipt tokens, token buybacks and functional networks.
🔹 Certain staking receipt tokens may qualify as digital commodities/tools rather than securities, depending on their structure.
🔹 Buybacks on functional networks generally don’t, by themselves, constitute the “essential managerial efforts” required under Howey.
🔹 Routine network maintenance and improvements generally don’t automatically create securities implications.
IMPORTANT: This is SEC STAFF GUIDANCE, not a binding rule or blanket exemption. The analysis remains fact-specific.
Meanwhile, Hester Peirce continues advocating privacy-preserving alternatives to excessive KYC data collection ahead of her October 2 departure.
