About the Taxonomy
Understanding the March 2026 SEC/CFTC Joint Digital Asset Taxonomy (Release No. 33-11412).
On March 17, 2026, the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) jointly released Release No. 33-11412, establishing a comprehensive five-category taxonomy for classifying digital assets. This landmark guidance provides the first unified federal framework for determining which regulatory body oversees specific types of digital assets.
The taxonomy builds on existing legal precedent including the SEC v. W.J. Howey Co. (1946) test for investment contracts, the SEC v. Ripple Labs(2023) ruling on secondary market sales, and the CFTC's historical treatment of Bitcoin and Ethereum as commodities.
| Category | Description | Regulator | Examples |
|---|---|---|---|
| Digital Commodity | A fungible digital asset that operates on a sufficiently decentralized network, is not issued as an investment contract, and functions primarily as a medium of exchange, store of value, or unit of account. Regulated primarily by the CFTC. | CFTC (Commodity Futures Trading Commission) | Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), Bitcoin Cash (BCH) |
| Digital Security | A digital asset that constitutes an investment contract under the Howey test — involving an investment of money in a common enterprise with an expectation of profits derived primarily from the efforts of others. Regulated by the SEC. | SEC (Securities and Exchange Commission) | Tokens from ICOs with profit expectations, Revenue-sharing tokens, Equity-linked tokens |
| Stablecoin | A digital asset designed to maintain a stable value relative to a reference asset (e.g., USD, gold). Subject to specific reserve, redemption, and transparency requirements under the joint framework. | Joint SEC/CFTC + Banking Regulators | USDC, USDT (Tether), BUSD, DAI |
| Digital Collectible | A unique or limited-edition digital asset representing art, media, or collectible items. Primarily valued for its uniqueness or cultural significance rather than as an investment or medium of exchange. | FTC / State Consumer Protection | NFT art collections, Digital trading cards, Collectible gaming items |
| Digital Tool | A digital asset that functions primarily as access or utility within a specific platform, network, or service. Not designed for investment or as a general medium of exchange. | FTC / Sector-specific Regulators | Filecoin (FIL) — storage utility, BAT — advertising rewards, Gaming tokens consumed in-platform |
A fungible digital asset that operates on a sufficiently decentralized network, is not issued as an investment contract, and functions primarily as a medium of exchange, store of value, or unit of account. Regulated primarily by the CFTC.
Regulator
CFTC (Commodity Futures Trading Commission)
Key Criteria
- Operates on a decentralized blockchain or distributed ledger
- No single entity controls the network or consensus
- Not offered or sold as an investment contract
A digital asset that constitutes an investment contract under the Howey test — involving an investment of money in a common enterprise with an expectation of profits derived primarily from the efforts of others. Regulated by the SEC.
Regulator
SEC (Securities and Exchange Commission)
Key Criteria
- Investment of money in a common enterprise
- Reasonable expectation of profits
- Profits derived primarily from efforts of others (promoter/team)
A digital asset designed to maintain a stable value relative to a reference asset (e.g., USD, gold). Subject to specific reserve, redemption, and transparency requirements under the joint framework.
Regulator
Joint SEC/CFTC + Banking Regulators
Key Criteria
- Pegged to a fiat currency, commodity, or basket of assets
- Issuer maintains reserves backing the token
- Redeemable at par value on demand
A unique or limited-edition digital asset representing art, media, or collectible items. Primarily valued for its uniqueness or cultural significance rather than as an investment or medium of exchange.
Regulator
FTC / State Consumer Protection
Key Criteria
- Non-fungible or limited in supply
- Represents digital art, media, or collectible item
- Primary value derived from uniqueness or cultural significance
A digital asset that functions primarily as access or utility within a specific platform, network, or service. Not designed for investment or as a general medium of exchange.
Regulator
FTC / Sector-specific Regulators
Key Criteria
- Functions as access key or utility within a platform
- Consumable or burned upon use
- Value tied to specific platform functionality
Disclaimer: This tool is for informational purposes only and does not constitute legal or financial advice. Token classifications are based on publicly available regulatory guidance and may change. Consult a qualified attorney for compliance decisions.