SEC Classifies XRP as Digital Commodity Under New Crypto Framework

The U.S. Securities and Exchange Commission classified XRP as a digital commodity under a new crypto asset taxonomy, placing it alongside Bitcoin, Ethereum, and Solana outside traditional securities regulation. The framework divides crypto assets into five categories—digital commodities, digital collectibles, stablecoins, digital tools, and digital securities—with only the latter subject to securities rules. The SEC said digital commodities like XRP derive value from programmatic operations of functional crypto systems and do not inherently grant rights to profits, income, or business ownership. SEC Chair Paul Atkins said the rules draw "clear lines in clear terms" and that activities including staking, mining, and airdrops generally do not constitute securities transactions.