The US SEC plans to introduce a token taxonomy based on the Howey Test, attempting to redefine cryptocurrency regulation.

Odaily Planet Daily reports that U.S. SEC Chairman Paul Atkins has proposed establishing a "token taxonomy" based on the Howey Test to classify crypto assets as securities. He stated that crypto assets may detach from investment contract attributes as networks mature and control becomes more decentralized. Atkins added that in the coming months, the SEC is expected to consider establishing a token taxonomy based on the long-standing Howey Investment Contract Securities Analysis, while also recognizing the restrictive principles of current laws and regulations. He acknowledged that cryptocurrencies can be part of investment contracts, but this does not mean they will always be. (The Block)