SEC Determines Network Tokens as Securities Except for Bitcoin and Ethereum

SEC Issues Notice to Crypto.com for Operating as Unregistered Broker-Dealer and Securities Clearing Agency

Violation of Federal Securities Laws

A recent filing revealed that the Securities and Exchange Commission (SEC) has classified network tokens, with the exception of Bitcoin (BTC) and Ethereum’s Ether (ETH), as securities. As a result of this determination, Crypto.com, a platform that facilitates trading in various cryptocurrencies, has been served a notice for allegedly functioning as an unregistered broker-dealer and securities clearing agency under federal securities laws.