The Staff provides the market with additional crypto clarity, holding that liquid staking does not qualify as a security under the Howey test....more
8/18/2025
/ Blockchain ,
Cryptoassets ,
Cryptocurrency ,
Decentralized Finance (DeFi) ,
Howey ,
Investment Contract ,
New Guidance ,
Regulatory Requirements ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act of 1934
The Staff clarifies that protocol staking does not qualify as a security under the Howey Test, clearing the way for market participants to engage in staking....more
6/16/2025
/ Blockchain ,
Crypto Exchanges ,
Cryptoassets ,
Digital Assets ,
Howey ,
Investment Contract ,
Market Participants ,
Regulatory Requirements ,
Securities Act of 1933 ,
Securities Exchange Act ,
Securities Regulation ,
Stablecoins ,
Unregistered Securities
The Staff noted that a stablecoin generally is not subject to SEC jurisdiction if it is not an investment and used solely for commercial activity....more
4/25/2025
/ Digital Assets ,
FinTech ,
Howey ,
Popular ,
Regulatory Oversight ,
Regulatory Requirements ,
Reves Test ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Securities Regulation ,
Stablecoins
The Staff Statement provides clarity that Proof-of-Work crypto mining does not involve securities, reducing regulatory uncertainty and enforcement risks for miners....more
In its third action involving NFTs, the SEC targets a restaurant membership token tied to fundraising and promises of potential price appreciation for buyers....more
9/23/2024
/ Cease and Desist Orders ,
Corporate Counsel ,
Cryptoassets ,
Enforcement Actions ,
Howey ,
Investment Contract ,
Marketing ,
Membership Interest ,
Non-Fungible Tokens (NFTs) ,
Popular ,
Securities and Exchange Commission (SEC) ,
Settlement ,
Token Sales ,
Unregistered Securities
The legislation allows decentralized autonomous organizations to gain legal entity status and operate within the bounds of applicable law. ...more
4/2/2024
/ CFTC ,
Corporate Governance ,
Decentralized Autonomous Organization (DAO) ,
Ether ,
Ethereum ,
Governance Standards ,
Howey ,
Indemnification ,
Investment Contract ,
Legal Entities ,
Liability ,
Limited Liability ,
Market Participants ,
Membership Interest ,
Nonprofits ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Service of Process
While a conclusion to the much-hyped case may be approaching, market participants should be wary of doomsday prognostications.
As a new year begins, the digital assets industry is still enduring a deep and widespread crypto...more
1/20/2023
/ Aiding and Abetting ,
Blockchain ,
Cryptocurrency ,
Digital Assets ,
Enforcement Actions ,
Howey ,
Investment Contract ,
Offerings ,
Popular ,
Securities ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Securities Litigation ,
Securities Violations ,
Statutory Interpretation ,
Unregistered Securities
In granting the SEC’s motion for summary judgment, a federal court ruled that sales of LBC tokens were securities transactions.
On November 7, 2022, the Securities and Exchange Commission (SEC) prevailed in a motion for...more
The plan directs the agency to develop a robust regulatory framework to prevent market misconduct, as SEC officials’ public comments keep advancements in technology high on the agenda.
On August 25, 2022, the Securities...more
9/16/2022
/ CFTC ,
Digital Assets ,
Disclosure Requirements ,
Enforcement ,
Howey ,
Popular ,
Retail Investors ,
Reves Test ,
Securities and Exchange Commission (SEC) ,
Strategic Planning ,
Technology Sector
SEC’s motion for a preliminary injunction is granted, prohibiting delivery of Telegram tokens to purchasers.
On March 24, the Court in the Southern District of New York sided with the SEC and granted an injunction...more
Recent SEC guidance on digital assets cleared a path for at least certain stable coins or payment tokens to avoid securities regulation. However, Latham & Watkins attorneys say there are still a number of open questions that...more
1/28/2020
/ Cryptoassets ,
Cryptocurrency ,
Digital Assets ,
FinTech ,
Howey ,
Market Participants ,
New Guidance ,
No-Action Letters ,
Regulatory Standards ,
Securities ,
Securities and Exchange Commission (SEC) ,
Token Sales
Developing a framework for consumer tokens -
With the rapid growth in the development of blockchain technology, virtual currencies and token sales (sometimes referred to as initial coin offerings, or ICOs), token...more
11/13/2019
/ Blockchain ,
CFTC ,
Commodities ,
Compliance ,
Cryptocurrency ,
Derivatives ,
Digital Assets ,
Enforcement Actions ,
Futures ,
Howey ,
Initial Coin Offering (ICOs) ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Swaps ,
Token Sales
Recent SEC guidance on digital assets cleared a path for at least certain stable coins or payment tokens to avoid securities regulation. However, Latham & Watkins attorneys say there are still a number of open questions that...more
The SEC issues second no-action letter for a digital token, but will “utility” token offerings reach the next level?
Gamers, rejoice! In only its second no-action letter to date for digital tokens, the SEC cleared the way...more
7/30/2019
/ Anti-Money Laundering ,
BSA/AML ,
Digital Currency ,
Ether Tokens ,
Ethereum ,
Gaming ,
Howey ,
No-Action Letters ,
Popular ,
Regulation D ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Utility Tokens