SEC Crypto News Reveals Plan to Recategorize Crypto Assets

The SEC announced plans to introduce a formal 'token taxonomy' aimed at redefining the classification of digital assets under US law. During a speech in Philadelphia on November 12, SEC Chair Paul S. Atkins stated that the agency will propose a structured framework based on the Supreme Court’s Howey test in the coming months. This initiative is significant as it could provide clarity and regulatory guidance for the cryptocurrency market, which has been navigating a complex legal landscape. By establishing a clear taxonomy, the SEC aims to enhance investor protection and ensure compliance within the rapidly evolving digital asset space.