Group items tagged

"There are long-running boring debates about whether certain sorts of cryptocurrencies are "securities" subject to the SEC's jurisdiction. The SEC tends to think that almost everything in crypto is a security; most crypto companies think that almost nothing is a security. (Very few crypto companies register their token or product offerings with the SEC, and the SEC sometimes sues them for doing unregistered securities offerings.) The general rule - called the "Howey test" - is that a security is "the investment of money in a common enterprise with a reasonable expectation of profits to be derived from the efforts of others." A lot of crypto projects look a lot like that, but you can debate the specifics."