SEC Says Most Crypto Assets Aren’t Securities, Clarifying That Protocol Mining, Staking and Airdrops Do Not Create Securities and Paving the Way for Clearer U.S. Crypto Market Structure Rules [

The U.S. Securities and Exchange Commission (SEC), together with the Commodity Futures Trading Commission (CFTC), has issued a landmark joint interpretive release stating that most crypto assets are not themselves securities, and that protocol mining, protocol staking, and certain airdrops do not, by themselves, create securities transactions. This clarification is intended to end years of uncertainty around how U.S. federal securities laws apply to crypto markets and to align with ongoing efforts in Congress to pass a comprehensive digital asset market structure law. The March 17, 2026 interpretation sets out a token taxonomy that divides crypto assets into five categories: digital commodities, digital collectibles, digital tools, stablecoins, and digital securities. Under this framework, digital commodities, collectibles, and tools, as well as many payment stablecoins, are not treated as securities in and of themselves; only digital securities (such as tokenized traditional securities) fall squarely under existing securities rules. The SEC emphasizes, however, that a crypto asset that is not itself a security can still be subject to securities laws when it is offered or sold as part of an investment contract, and it outlines how and when such an investment contract can “come to an end,” potentially freeing the underlying asset from securities status once essential managerial efforts have ceased. Within that structure, the agencies directly address three activities that had long been regulatory gray areas. Protocol mining on proof-of-work networks is characterized as an administrative or ministerial activity, not a securities transaction. Protocol staking on proof-of-stake networks receives similar treatment across solo staking, non-custodial third‑party staking, custodial staking, and liquid staking models, meaning the act of staking itself is not treated as a securities transaction where the underlying asset is a non-security crypto asset. Airdrops of non-security crypto assets, where recipients provide no money, goods, services, or other consideration, are also placed outside securities law because they do not meet the “investment of money” prong of the Howey test. The document is explicitly framed as an interpretive release rather than a statute, and the SEC and CFTC position it as a bridge to Congressional action on the CLARITY Act, a market structure bill that would codify the commodity–security distinction and has advanced in both chambers but has not yet become law.

✨ AI-generated background, compiled from web sources — not editorial content.

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