EVERYONE IS WRONG ABOUT TODAY'S SEC ANNOUNCEMENT

Summary from the TLDR Crypto newsletter

The SEC proposed "Regulation Crypto Assets," its first crypto-native rulebook, creating three legal registration paths for token launches that include promises of future work, the ICO model that has operated as an unregistered investment contract in the US since 2017. The three paths are a startup exemption (up to $5M over four years with plain-language disclosure), a fundraising exemption (up to $75M per 12 months with financial statements and ongoing reporting), and an exit certification that removes investment contract status once promised development is complete. This closes the final gap in the March SEC/CFTC five-bucket token taxonomy, making US-based L1, DeFi, and DePIN launches with explicit build commitments legally viable, though tokenized equity and profit-sharing tokens remain bucket 5 and await a separate framework. The proposal enters a 60-day comment period with final adoption expected in 2027.