SEC Clarifies Crypto Asset Guidance with Five Digital Token Categories

The Securities and Exchange Commission (SEC) has clarified how federal securities laws apply to crypto assets in an interpretation released in March 2026. The guidance aims to provide greater clarity for businesses, investors, and crypto asset holders on when and how these laws apply.

The SEC identifies five categories of digital tokens: digital commodities, digital collectibles, digital tools, stablecoins, and digital securities. Each category has its own unique characteristics, uses, and functions, and not all are treated the same way under federal law.

Digital commodities are used in a blockchain's consensus mechanism or convey governance rights to holders. Digital collectibles typically aren't considered securities unless they're fractionalized into tradable shares and marketed as profit-generating opportunities.

Stablecoins, designed to maintain stable value tied to an asset like the U.S. dollar, may be subject to SEC regulation if marketed and sold as investments with expected profits. Digital securities represent traditional financial assets tokenized on a blockchain and remain subject to federal securities laws even in digital form.