SEC Confirms Meme Coins Are Not Securities

Meme Coins Classified as Collectibles

The U.S. Securities and Exchange Commission (SEC) has clarified that meme coins are not considered securities. Instead, they are seen as speculative assets similar to collectibles. This means meme coin transactions are not subject to federal securities laws, and sellers do not need to register with the SEC.

Why Meme Coins Are Exempt

Under the Securities Act of 1933, securities include stocks, bonds, and investment contracts—financial instruments that generate profits or involve third-party management. The SEC stated that meme coins do not fit this definition since their value depends on market demand, not managerial efforts. However, fraud related to meme coins can still be prosecuted under other laws.

SEC’s Changing Stance on Crypto

This announcement comes shortly after Mark Uyeda, appointed SEC chairman by President Donald Trump, established a cryptocurrency task force. The SEC’s stance under Uyeda marks a shift from the previous administration, which pushed for stricter crypto regulations. Earlier this month, SEC Commissioner Hester Peirce also stated that most meme coins fall outside the agency’s regulatory scope.