SEC Signals Shift on Meme Coins, Declares Them Not Securities Amid Kraken Lawsuit Drop on March 6, 2025

The U.S. Securities and Exchange Commission (SEC) has recently signaled a shift in its stance on digital assets, particularly regarding meme coins. In a staff statement, the SEC indicated that it does not consider meme coins to be securities, aligning with perspectives from various legal experts. This follows the SEC's decision to drop its lawsuit against Kraken, a major cryptocurrency exchange, amid growing support for the crypto sector. The agency's latest guidance suggests that while cryptocurrencies providing utility may be classified as securities, meme coins are exempt from this categorization. This development reflects a broader trend of regulatory actions taken since the Trump administration, which has garnered both support and criticism within the industry. Experts are now questioning the implications of this stance for future crypto innovation.