SEC Clarifies Stance on Proof-of-Work Mining, Providing Legal Certainty for Bitcoin Miners

On March 20, the SEC's Division of Corporation Finance clarified that proof-of-work (PoW) mining activities do not constitute the offer and sale of securities under the Securities Act of 1933. This statement applies to decentralized PoW networks, including Bitcoin, Dogecoin, and Litecoin, where mining is used for consensus. The SEC's stance provides legal certainty for solo miners and mining pools, stating that their activities do not require registration with the Commission. This decision follows President Trump's commitment to making the U.S. a crypto capital and the establishment of the Council of Advisers on Digital Assets. Industry advocates, such as The Digital Chamber, view this clarification as a significant step for the growth of the mining industry in the U.S.