Update
Hyperliquid Policy Center Urges SEC for Clearer Crypto Token Rules
The Hyperliquid Policy Center (HPC) has urged the U.S. Securities and Exchange Commission (SEC) to refine its proposed crypto regulations. HPC recommends clearer rules for token airdrops, secondary trading, project exemptions, and token buybacks to reduce legal uncertainty and encourage blockchain developers to build within the United States. HPC supports the SEC’s proposed Regulation Crypto Assets, which includes exemptions for startup offerings and fundraising, but wants clarification on when free token distributions fall outside securities laws and clearer guidance for secondary trades. HPC also recommends allowing projects to qualify for safe harbor protections without implying previous securities violations and distinguishing automated token buybacks from discretionary purchases. These changes could encourage domestic innovation and improve American access to blockchain markets.