US SEC updates encryption FAQ, cryptocurrency repurchase after network operation does not constitute securities

The US SEC Corporate Banking Department has updated its encryption FAQ, clarifying that token buybacks are not necessary management efforts and do not constitute securities once the network has functional operation; Maintaining or upgrading the operational network, promoting existing features, and non-profit vision statements does not meet Howey's test requirements, but the network is not yet operational and the issuer's commitment to repurchase proceeds still triggers securities laws. Lawyer Gabriel Shapiro stated that the repurchase portion exceeded expectations, and the repurchase agreements tracked by DefiLlama, such as HYPE, AAVE, PENDLE, ENA, NEAR, etc., have attracted attention. (Source: Decrypt)