The SEC has issued a rare no-action letter on Solana-based DePIN project, Fuse, marking a notable shift in the agency’s approach to cryptocurrency regulation. the Letter offers Incorporate a layer of regulatory protection while the project continues to distribute its FUSE token to network participants.
The design of the facilities helps to obtain the approval of the regulator
Valves Submitted He requested it on November 19 after explaining that its token supports network activity. The system rewards users who maintain the network, and the token design restricts speculative use. Additionally, Fuse explained that tokens can only be redeemed at the average market price through third parties.
the sec The Corporate Finance Department acknowledged these details and confirmed that it would not recommend implementation. The action follows a similar no-action letter given to DoubleZero earlier this year. Hence, both cases are viewed by observers as signs of a more stable regulatory environment for DePIN creators.
Bill Hughes, a lawyer for Consensys, said the outcome seemed straightforward. “No cryptocurrency lawyer would have thought that this token was a security,” he said.
He also added that “even a lawyer who only knows Howie probably wouldn’t have reached a different conclusion.” His comments underscored why the industry was anticipating the agency’s decision.
The SEC’s shift in stance encourages cryptocurrency developers
The tone of the SEC has changed since Paul Atkins become Chair in April. Industry teams say the new leadership has improved dialogue and provided more consistent expectations. Additionally, crypto-friendly Commissioner Hester Peirce now oversees the agency’s cryptocurrency task force, further shaping this shift.
Teams often follow these decisions because they want organizational clarity, said Rebecca Rettig, a legal specialist. She added that the no-action letter provides reasonable assurance that they will not face immediate enforcement. Its argument reflects the broader industry view that clarity reduces unnecessary legal risks for token issuers.
