Lawyer: SEC's encryption guidelines fail to address key issues; the determination of investment contract termination dates remains subjective.

On March 27, crypto journalist Eleanor Terrett reported that securities lawyers stated the U.S. Securities and Exchange Commission's (SEC) interpretative guidance on how federal securities laws apply to crypto assets remains highly subjective regarding when investment contracts for tokens terminate, and a key issue remains unresolved. This is important because, in most cases, violations of securities laws are subject to the strict liability principle, meaning that no proof of subjective fault is required to establish a violation.