The SEC has issued a letter to DoubleZero confirming that the 2Z token does not need to be registered as an equity security

ChainCatcher news, DoubleZero announced on the X platform that the U.S. Securities and Exchange Commission (SEC) has issued a no-action letter to DoubleZero regarding 2Z. This document means that 2Z does not need to be registered as a class of "equity securities," and the programmatic flow of 2Z on the DoubleZero network does not constitute a securities transaction.

The no-action letter indicates that the SEC's Division of Corporation Finance has reviewed the programmatic distribution of the 2Z token and concluded: "Based on the facts presented, the Division will not recommend that the Commission take enforcement action." For the DoubleZero project and its stakeholders, this letter means that the SEC will not recommend enforcement action regarding the flow of 2Z tokens within the DoubleZero network.