SEC Chairman: A "token taxonomy" will be developed based on the Howey investment contract securities analysis

Jinse Finance reported that Paul Atkins, Chairman of the U.S. Securities and Exchange Commission, stated that the agency will soon consider formulating a formal "token taxonomy," which will be based on the long-standing Howey investment contract securities analysis. The Howey Test originated from a 1946 case in which people purchased a Florida orange grove, expecting to profit from the labor of the growers. It defines a security as an investment of funds in a common enterprise with profits to be derived from the efforts of others.