How does the SEC define cryptocurrencies?

3 answers

• Hassing HeinMay 31, 2023 · 3 years ago
  According to the SEC, cryptocurrencies are digital assets that use cryptography to secure transactions and control the creation of new units. The SEC considers a digital asset to be a cryptocurrency if it meets the criteria of being decentralized, operating on a blockchain or similar technology, and being used as a medium of exchange or store of value. The SEC also looks at the economic substance of the digital asset and whether it meets the definition of a security under the Howey Test.
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• Craig BoysenJan 21, 2026 · 6 months ago
  Cryptocurrencies, as defined by the SEC, are virtual currencies that utilize cryptographic technology to secure transactions and control the creation of additional units. The SEC determines whether a digital asset is a cryptocurrency by evaluating its decentralization, blockchain-based operation, and utility as a medium of exchange or store of value. Additionally, the SEC assesses whether the digital asset falls under the definition of a security according to the Howey Test.
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• starlin dariel de jesus medinaAug 08, 2025 · a year ago
  The SEC defines cryptocurrencies as digital assets that employ cryptographic techniques to facilitate secure transactions and regulate the production of new units. To be classified as a cryptocurrency, a digital asset must exhibit decentralization, operate on a blockchain or similar distributed ledger technology, and serve as a means of exchange or store of value. The SEC also evaluates whether the digital asset meets the criteria of a security as outlined in the Howey Test. It's important to note that the SEC's definition of cryptocurrencies may evolve as the industry continues to develop.
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