Skip to content
DWT logo
People Expertise Insights
About Locations Careers
Search
People
Expertise
Insights
About
Locations
Careers
Search
Publications
Financial Services

"Comstock Authors Law360 Analysis on SEC Stance on Crypto Jurisdiction," Blockchain Law Center

By  Matthew B. Comstock
08.27.21
Share
Print this page

Matthew Comstock of the firm's FinTech & Blockchain Practice authored an article regarding Securities and Exchange Commission jurisdiction over crypto assets in the Expert Analysis section of Law360 (8/26/21). In the article, Mr. Comstock analyzes the SEC's stance on cryptocurrency and provides expert insight as to why the SEC believes it is uniquely qualified to protect the investing public.

In early August, Gary Gensler, Chair of the SEC, asserted that the commission has broad jurisdiction over crypto, noting that it has "taken and will continue to take our authorities as far as they go." Gensler contends that the SEC has authority over almost every aspect of the crypto space and rejects the notion that crypto assets could be classified as money.

Mr. Comstock explains that Gensler seems to take the position that crypto assets in general are investment contracts under the Securities Act, as interpreted in the 1946 U.S. Supreme Court case of U.S. v. Howey. Considered controversial in the crypto space, the Howey test is used to assess whether a specific asset can be classified as a security. Mr. Comstock elaborates on this idea, discussing how crypto assets are more complicated to define than traditional currencies.

A clear definition between securities and nonsecurities in the crypto space is what Mr. Comstock suggests is a necessary step in communication and clarity from the SEC.

Related Articles

DWT logo
©1996-2022 Davis Wright Tremaine LLP. ALL RIGHTS RESERVED. Attorney Advertising. Prior results do not guarantee a similar outcome.
NAVIGATE
Home People Expertise Insights
About Locations Careers Events Blogs
STAY CONNECTED

Subscribe to stay informed.

Subscribe
Employees
DWT Collaborate
EEO
Affiliations
Legal notices
Privacy policy
©1996-2022 Davis Wright Tremaine LLP. ALL RIGHTS RESERVED. Attorney Advertising. Prior results do not guarantee a similar outcome.
Close
Close

CAUTION - Before you proceed, please note: By clicking “accept” you agree that our review of the information contained in your e-mail and any attachments will not create an attorney-client relationship, and will not prevent any lawyer in our firm from representing a party in any matter where that information is relevant, even if you submitted the information in good faith to retain us.