Regulation· ★★★★· neutral·

SEC staff: token buybacks by functional systems may not be investment contracts

  • —SEC FAQ dated Sept 28, 2026: buybacks by functional systems without a central operator may not be investment contracts
  • —The SEC's 68-page March 17, 2026 guidance never mentions the words buyback or burn
  • —Promoting buybacks as a source of holder yield or price support may still imply managerial efforts
  • —The FAQ reflects staff views only and carries no legal force
Why it matters: The guidance eases legal uncertainty for projects running buybacks, but it is not a blanket exemption from SEC scrutiny.
Source: TokenPost
More on this
Regulation · yesterday
SEC updates token buyback FAQ: no centralized issuer means likely no investment contract
 Regulation · Sep 26
SEC's Peirce Pushes Zero-Knowledge Privacy as Staff Clarifies Token Buybacks and Staking Receipts
 Regulation · Sep 26
SEC staff says certain crypto buybacks and staking tokens fall outside securities laws