The U.S. Chamber of Commerce urges the Securities & Exchange Commission to propose rules that would clarify the regulatory landscape governing the issuance of digital assets deemed to involve investment contracts. To protect American investors and ensure that America remains a hub for digital asset
innovation, the Commission must craft a clear regulatory framework for digital assets deemed to be investment contracts.

Nearly two years ago, the Chamber issued a report urging the Commission to “avoid regulation by enforcement” and instead “provide fair notice concerning what the law requires” of digital asset firms and digital asset securities.For your convenience, that report is attached as an exhibit to this letter. As we explained then, a regulation-by-enforcement approach discourages innovation and competition in the digital assets industry, threatening America’s position as the preeminent global hub for financial innovation. This also creates uncertainty that is detrimental for investors, as well as competition.