More terms
Digital Tool
A crypto asset designed to perform a practical function such as membership, access, credentials, identity, or title, often with limited transferability.
What traders should verify
For Digital Tool, identify the network, application, asset, holder rights, transfer mechanics, issuer or operator, and the date of the SEC source's characterization.
Do not conflate
The label Digital Tool, its technical function, or one SEC staff description does not by itself determine the legal treatment of every asset or transaction.
Primary source
SEC definitionSource boundary: this glossary reflects SEC staff views and is not a Commission rule, regulation, or statement. Check the linked source for current wording and legal context.