Two of the main US financial regulators have jointly issued a statement to clarify how they will categorise crypto assets and what will count as security. The announcement has major implications for the sector, where rules are still unclear and regulatory domains have been undefined.

The long-awaited interpretation builds on the joint SEC-CFTC Project Crypto initiative and it reflects close coordination between the agencies, as well as the stated commitment from the current administration to provide the “fulsome regulatory clarity that best keeps blockchain-based innovation…