Nasdaq Advises SEC on Defining Digital Assets for Future Regulation
Nasdaq has submitted a letter to the U.S. SEC's crypto task force, recommending a structured classification of digital assets into four categories to clarify regulatory oversight:
- Financial securities: Tokens tied to existing securities like stocks and ETFs.
- Digital asset investment contracts: Tokenized contracts meeting the updated Howey test criteria.
- Digital asset commodities: Assets that fit the U.S. definition of commodities.
- Other digital assets: Items not classified as securities or commodities.
The SEC will oversee financial securities while the Commodity Futures Trading Commission will manage commodities. Nasdaq advocates for a crossover trading designation for platforms handling various asset types under one structure. The letter emphasizes Nasdaq's capabilities in supporting digital asset platforms globally and suggests enhanced safety measures for firms involved in comprehensive investor services.