Chainlink, Cardano, other blockchain groups push SEC for clearer crypto rules

Six major blockchain organizations, including Chainlink Labs and the Cardano Foundation, have urged the US Securities and Exchange Commission (SEC) to formally classify digital commodities as non-securities, as the agency’s public consultation on proposed crypto regulations came to a close Tuesday.

In a joint letter dated Oct. 20, Chainlink Labs, the Cardano Foundation, Hedera, Aptos Labs, Ava Labs and the Stellar Development Foundation called on the SEC to incorporate its digital commodity classification directly into the proposed Regulation Crypto Assets framework, arguing that interpretive guidance alone leaves market participants facing legal uncertainty.

The groups argued that the SEC’s existing interpretation recognizes digital commodities as a distinct category but that the proposed rules fail to explicitly reflect that distinction, potentially leaving developers and other market participants uncertain about which securities regulations apply.

Source: Taylor Barr

The letter also seeks greater clarity on how securities laws apply to secondary-market transactions involving digital assets, as well as the treatment of staking and other activities associated with decentralized blockchain networks.

The SEC’s proposed crypto framework, introduced in August, drew roughly 140 public comments over 60 days, with industry participants and legal scholars offering competing views on proposed exemptions for crypto offerings and a conditional safe harbor for certain tokens.

Magazine: 5 alternatives to Ledger to store your Bitcoin