SEC Clarifies Crypto Market Stance on Promises Made by Issuers

The US Securities and Exchange Commission (SEC) has clarified its stance on various aspects of the cryptocurrency market in an FAQ document published on September 25.

According to the SEC, a simple promise made by an issuer can change the status of a crypto asset. The distinction lies in whether the promise is attached to the asset itself or not.

An issuer may sell a token today and promise to build a network tomorrow, but as long as this essential promise remains attached to the asset, some subsequent sales may still fall under securities law.