PANews reported on March 21 that according to The Block, the U.S. Securities and Exchange Commission (SEC) clarified its position on specific proof-of-work (PoW) mining activities, which is the latest move by the agency to take a more friendly attitude towards the cryptocurrency industry. In a statement released by the SEC's Corporate Finance Division on Thursday, SEC staff stated that proof-of-work mining does not involve the issuance and sale of securities; therefore, parties involved in mining activities do not need to register transactions with the Commission under the Securities Act, nor do they fall within the scope of registration exemptions related to these mining activities in the Securities Act.

In its conclusion Thursday, the SEC relied on the "Howey test" — a 1946 U.S. Supreme Court case that the SEC often cites to determine whether an asset meets the definition of an investment contract and, therefore, is a security. The test relies on four questions: whether there was an investment of money, whether there was a common enterprise, whether there was an expectation of profit and whether the profit came from the efforts of others.