Crypto News: SEC Chair Declares Bitcoin and Ethereum Non-Securities Under New Token Framework

Key Insights:

• Crypto news escalates as the SEC classifies Bitcoin and Ethereum as digital commodities.
• The new token taxonomy defines four non-security categories and limits the scope of SEC oversight.
• Investment contracts still trigger securities laws if the issuer’s promises create reliance.

Crypto news developments took a major path after Securities and Exchange Commission Chair Paul Atkins confirmed that Bitcoin and Ethereum are not securities. The announcement came during the DC Blockchain Summit 2026, where the SEC introduced a formal token taxonomy and an interpretation of investment contracts.

This system sets uniform categories for digital assets and aims to resolve long-standing regulatory uncertainty. As a result, the agency outlined which assets fall outside the scope of securities laws and clarified how existing rules will apply going forward.

Atkins stated that the SEC has now ended its “persistent failure” to define when crypto assets comply with securities laws. He emphasized that the framework relies on existing law and incorporates public input.

Crypto News: SEC Defines Bitcoin and Ethereum as Non-Securities

The new framework classifies four categories of crypto assets as non-securities. These include digital commodities, digital collectibles, digital tools, and payment stablecoins under the GENIUS Act. Bitcoin and Ethereum fall under digital commodities, placing them outside securities regulation.

Atkins explained that only one category remains subject to securities laws. This category includes digital securities, which represent tokenized versions of traditional financial instruments. Consequently, the SEC will limit its oversight to assets that meet this definition.

He added that this classification aligns with the agency’s statutory mandate. The SEC will now focus only on securities transactions rather than broader digital asset activity. In addition to the crypto news, Atkins stated that the commission is “not the Securities and Exchange Commission anymore.”

Investment Contracts and Disclosure Requirements Clarified

While the framework excludes many assets, it does not eliminate all regulatory obligations. Atkins noted that a non-security crypto asset can still fall under securities laws if offered through an investment contract. Therefore, according to crypto news, the interpretation clarifies how such contracts apply in crypto markets.

The guidance requires project teams to disclose any representations or promises clearly. These disclosures must outline the managerial efforts tied to the asset. According to Atkins, such transparency ensures that investors understand the rights associated with their purchase.

The framework also specifies that these representations must remain explicit and unambiguous. This condition determines whether investor reliance meets the threshold under established legal tests. As a result, the SEC aims to separate the asset itself from the conditions under which it is sold.

Joint SEC and CFTC Guidance Expands Crypto Classification

In parallel, the SEC and Commodity Futures Trading Commission issued joint interpretive guidance. This document explains how both agencies assess whether a crypto asset qualifies as a security. The guidance builds on prior efforts but provides more detailed classifications.

The agencies identified digital securities as assets that meet traditional security definitions. This includes tokens that satisfy the criteria of established legal tests. These assets remain under SEC oversight.

Other categories, including payment in stablecoins, digital tools, and digital collectibles, generally fall outside the scope of securities laws. However, according to crypto news, issuers may still comply with regulations if their actions meet certain conditions.

The CFTC also issued a no-action letter for a non-custodial wallet provider. This enables derivatives and prediction market transactions under specific conditions. Meanwhile, Arizona authorities have filed criminal charges against a prediction market provider, indicating continued enforcement activity.

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