Hester Peirce States Meme Coins May Not Be Classified as Securities
Hester Peirce, head of the SEC's new crypto task force, stated that meme coins like TRUMP and MELANIA may not be classified as securities, potentially placing them outside SEC jurisdiction. This contrasts with former SEC Chair Gary Gensler’s classification of most cryptocurrencies as securities.
Key Points
- Peirce emphasized that not all meme coins meet the criteria for being classified as securities.
- Gensler argued during his tenure that many cryptocurrencies, including meme coins, qualify as investment contracts.
- Peirce aims to clarify which digital assets are non-securities through the SEC's new task force.
- Bitcoin and XRP have already been classified as non-securities, despite Gensler's efforts to categorize XRP otherwise.
- The SEC's initiative seeks to provide regulatory clarity for market participants.
Industry reactions are focused on whether Peirce's leadership will resolve ongoing classification debates in the US.