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SEC staff call Canton Coin a digital commodity

USSource: U.S. Securities and Exchange Commission

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  • In a no-action response dated 3 November 2026 to a 30 October 2026 request, the SEC's Division of Corporation Finance said it views Canton Coin, the native token of the Canton Network, as a “digital commodity” as described in the Commission's Interpretation, noting representations that the token derives its value from the network's programmatic operation and supply and demand and that the network has no “central party”.
  • The staff will not recommend enforcement if Canton Coin is minted programmatically by Super Validators, Validators and application providers without registration under Section 5 of the Securities Act or Section 12(g) of the Exchange Act.
  • The incoming letter states that, as of 30 September 2026, the Canton Foundation was co-chaired by DTCC and Euroclear, with board members including BNY, HSBC and Tradeweb.

Why it matters

Banks and market infrastructures that run validators or applications on the Canton Network get a staff position on the securities status of the network's reward token, though the letter covers enforcement only, rests on the requester's representations and gives no legal conclusion.

Read the original: U.S. Securities and Exchange Commission ↗

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More detail

Who is affected

Super Validators, Validators and application providers minting Canton Coin on the Canton Network.

Key dates

  • Incoming no-action request
  • Division of Corporation Finance response

What remains uncertain

  • The position relies on the requester's representations; the letter says different facts or conditions might lead to different conclusions and that it expresses no legal conclusion.

Key facts

Event
No-action letter
Jurisdiction
US
Source
U.S. Securities and Exchange Commission (Division of Corporation Finance)
Source tier
Tier 1 · Regulator / central bank
How we verified this

The source says

“In reliance on the representations provided in your letter, the Division is of the view that Canton Coin is a “digital commodity,” as that term is described in the Interpretation.”

“Further, the no-action response expresses the Division’s position on enforcement action only and does not express any legal conclusion on the issues presented.”

Scope of the relief

Verbatim from U.S. Securities and Exchange Commission (Division of Corporation Finance), matched word for word against the live page on 13 November 2026.

Evidence

Confidence
High Primary source (regulator / official record); quote string-matched against the live page.
Quote verified
2026-11-13 11:59 UTC
Archived snapshot
SHA-256 9efe875cc5962c9c… · fetched 2026-11-09 · Wayback Machine copy ↗
Change log (1)
  1. 2026-11-09 Published

Full evidence record · How we label confidence

AI-assisted: the summary and analysis were drafted with AI from the primary source and checked by the editors. AI-drafted from the primary source; quote string-matched against the live source page.

Methodology · How we classify sources · Corrections · Report an error

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