The U.S. Securities and Exchange Commission (SEC) has confirmed that it is working on new regulatory frameworks specifically targeting crypto tokens, aiming to bring greater clarity and investor protection to the rapidly evolving sector.
In remarks made on May 12, 2025, SEC Chair Gary Gensler stated that the agency plans to introduce tailored rules that will differentiate digital tokens from traditional securities, while still enforcing strong disclosure and compliance standards. The announcement signals a shift in tone following years of legal disputes between the SEC and major crypto platforms like Ripple and Coinbase.
According to Reuters, the new rules are expected to:
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Define how utility vs. security tokens are classified
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Require transparency and consumer risk disclosures
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Provide guidelines for token issuance and trading platforms
Gensler emphasized that regulation should not stifle innovation but must ensure “fairness, transparency, and investor protection.” The crypto industry, meanwhile, is cautiously optimistic, with some leaders welcoming the possibility of clearer legal guardrails for token-based projects.
The SEC has not yet published a draft, but early consultations with lawmakers and industry stakeholders are reportedly underway.
