The SEC's Division of Corporation Finance said it views Canton Coin as a “digital commodity” and won't recommend enforcement action if validators and application providers mint the token programmatically without registering it. The staff relied on Canton's representations that the token's value comes from network operation and supply and demand, and that the network has no “central party.” Canton launched without an initial coin offering or premine, with tokens earned only by running network infrastructure and applications. The relief arrived a week after DTCC launched a tokenization service on Canton that lets firms convert DTC-held stocks and Treasuries into tokens, and Morgan Stanley said it was among the first banks to use it. The SEC noted the letter reflects only staff's enforcement position, not a legal conclusion, and rests on the facts Canton presented. Digital Asset, which created the Canton Network, raised $355 million earlier this year from Wall Street firms and a sovereign wealth fund.
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cryptoregulationWall Streettokenization
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Related tickers and likely impact
BTC/USDT
▲ Likely positiveBitcoin
Relevance: low
| Market | Crypto |
|---|---|
| Exchange | Binance |
| Sector | Layer 1 |
| Market cap | $1.6T |
| Close on 11/03/2026 | 77,453.86 |
| Change that session | +0.83% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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