White House advisor David Sacks argues that non-fungible tokens (NFTs) and meme coins do not belong in the securities or commodities category.

Instead, Sacks suggested they are better understood as collectibles, similar to items like stamps or baseball cards.

Sacks Argues Authorities Should Treat NFTs and Meme Coins as Collectibles

During a Fox interview on January 24, Sacks shared his views while discussing the Donald Trump-themed meme coin. He emphasized the sentimental value of these tokens, explaining that people often purchase them to commemorate events or celebrate figures.

“When you’re talking about digital assets, it can be multiple things. You’ve got digital assets that are securities, that are commodities, digital assets that are collectibles like NFTs or meme coins. So, you know, you’re talking about a whole vast area of innovation. And so digital assets can be a number of different things,” Sacks explained.

Notably, the GetTrumpMeme website had marketed the Trump meme coin as a tribute to the president’s determination and leadership. Over the past week, the digital asset gained market attention due to its ties with the president. However, some have criticized the token, citing conflict-of-interest claims.

Meanwhile, Sacks’ remarks bring renewed attention to the debate about classifying digital assets. While some view them as securities akin to stocks, others argue they resemble commodities like gold. Notably, the US Securities and Exchange Commission (SEC), under Gary Gensler, had designated Go to Source to See Full Article
Author: Oluwapelumi Adejumo