The crypto community has been buzzing with excitement after the SEC released its new crypto guidance, clarifying the legal status of major cryptocurrencies.
The news has triggered reactions from Changpeng Zhao, the founder of the world’s largest cryptocurrency, Binance, who described it as awesome for the crypto community.
In his excitement, CZ declared that the move is a major milestone for the crypto industry as the U.S. continues to embrace cryptocurrencies. To further discuss the new milestone, CZ revealed he will be attending a virtual summit from DC blockchain.
At the summit, CZ plans to discuss the future of crypto in the U.S. as well as share his personal experiences from building crypto companies.
SEC chair outlines nonsecurity assets
CZ’s reaction came after SEC Chairman Paul Atkins declared new regulatory clarity from the U.S. Securities and Exchange Commission regarding major cryptocurrencies. Their unclear legal status has long been criticized.
Atkins revealed that the SEC has created four categories of digital assets that do not fall under securities laws, dismissing longstanding speculations and uncertainties regarding the assets.
Following the recent review, the SEC classified several major cryptocurrencies, including Bitcoin, Ethereum, Solana, XRP and Dogecoin, as digital commodities.
With this classification from the legal authorities, the aforementioned cryptocurrencies will not be regulated as securities, fortifying their legal status.
Other digital commodities apart from cryptos
In addition to the classified crypto assets, the SEC also outlined additional digital assets and tools that have been cleared as nonsecurities. They include digital collectibles, covering NFTs and meme coins, utility tokens and services like the Ethereum Name Service and payment stablecoins.
