SEC Crypto Task Force Chief Counsel Outlines Two-Bucket Approach to Regulation
Taylor Lindman, chief counsel of the SEC Crypto Task Force, outlined the agency’s two-bucket approach to cryptocurrency regulation during a live appearance at Consensus 2026 in Miami on May 8. The framework sorts digital assets into two broad categories to determine how existing securities laws apply.
Lindman, who said he bought his first Bitcoin (BTC) in 2013, framed the approach as a practical tool for bringing clarity to a sector that has operated without consistent regulatory guidance for years.
The Two-Bucket Framework
The first bucket covers assets the SEC treats as securities, meaning they carry registration obligations, disclosure requirements, and investor protection rules derived from existing federal law. The second bucket covers assets the agency does not treat as securities, which may still face other regulatory oversight but fall outside the SEC’s direct jurisdiction under that framework.
Lindman did not provide a definitive list of tokens in either category, but the CoinDesk report from his Consensus appearance captures his framing in detail. The distinction matters because assets in the first bucket face the full weight of SEC enforcement, while those in the second do not.
Background
The SEC Crypto Task Force was established in early 2025 under Chair Paul Atkins as part of a shift toward structured engagement with the digital asset industry.
The task force was designed to produce clearer guidelines rather than rely exclusively on enforcement actions. That pivot followed years of criticism from industry participants who said the agency had governed through lawsuits instead of rulemaking.
The two-bucket model Lindman described fits within that broader effort to establish predictable boundaries before formal rules are written.
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What Comes Next
The task force has not yet published a formal document mapping specific assets to either bucket. Lindman’s public remarks at Consensus 2026 represent the clearest articulation of the framework to date, but they carry no binding legal weight on their own.
Market participants are watching for a written staff bulletin or formal guidance release that would allow exchanges, issuers, and custodians to assess their compliance status. The SEC’s next scheduled open meeting has not been announced as of May 8.
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