Crypto Data Aggregators Launch Separate Category for SEC Securities Tokens

Crypto data aggregator websites like CoinMarketCap and CoinGecko have introduced a new category specifically for tokens that have been classified as securities by the US Securities and Exchange Commission (SEC). This move comes as the SEC continues its battle against the crypto industry, frequently declaring certain tokens as securities. Tracking these tokens manually can be challenging for investors, so the separate category aims to make it easier.

Key points:
– CoinMarketCap and CoinGecko have created a separate category for tokens classified as securities by the SEC.
– The SEC has been actively declaring certain tokens as securities, which poses challenges for investors trying to keep track.
– The data aggregators categorize crypto assets similar to sectors in stock markets.
– CoinMarketCap lists 65 tokens with a market capitalization of $88.9 billion, making up 7% of the total crypto market cap.
– CoinGecko lists 48 tokens with a market capitalization of $91.3 billion and includes BNB, Cardano, and Solana as the top three tokens in the “Alleged SEC Securities Tokens” category.

The data aggregators’ lists do not include XRP after a court ruling stated that Ripple’s distribution of XRP on exchanges does not qualify as an investment contract. These categorized lists can be helpful for investors looking to track tokens in specific niches. However, tokens classified as securities may experience increased volatility due to ongoing court battles and legal developments. This category can serve as a watchlist for traders looking to capitalize on the volatility.

Despite the SEC’s crackdown on the crypto industry, which includes naming 67 crypto tokens as securities in lawsuits against Binance and Coinbase, some tokens have also been delisted from trading platforms like Robinhood and Revolut.

Hot Take:

The introduction of a separate category for SEC securities tokens by crypto data aggregators shows the increasing need for clarity and organization within the crypto industry. As the SEC continues to crack down on tokens deemed as securities, investors can benefit from having a designated list to track these assets. However, the volatility and legal battles surrounding these tokens highlight the risks involved in this space. It is crucial for investors to stay informed and cautious when investing in SEC securities tokens.