Securities Lawyer: SEC's New Rules Have Not Addressed Core Issues, Strict Liability Risks Remain for Crypto Projects
According to crypto journalist Eleanor Terrett, multiple securities lawyers have expressed concerns about the SEC's latest guidance on how federal securities laws apply to crypto assets.
The lawyers pointed out that this guidance has significant subjectivity in determining when token investment contracts terminate, and some key issues remain unresolved.
Lawyers also emphasized that this ambiguity carries substantial risks because violations of securities laws typically fall under strict liability standards; once regulatory agencies later determine that the investment contract relationship of tokens has not terminated, project parties must bear liability for violations even if they are not at fault.
In response to this criticism, SEC Chairman Paul Atkins stated in an interview that as time goes on and more market participants enter, the clarity around regulatory oversight of investment contracts will gradually become clearer.
In summary, although the regulatory guidance jointly issued by the SEC and CFTC previously classified 16 tokens including Bitcoin and Ethereum as commodities, the criteria for determining when investment contracts "end" remain unclear.
This uncertainty also means that project parties can only negotiate with regulatory agencies through specific cases to seek a relatively balanced solution in negotiations.