Leading non-fungible token (NFT) marketplace OpenSea has called on the U.S. Securities and Exchange Commission (SEC) to formally exempt NFT platforms from federal securities regulations.
In a letter dated April 9, OpenSea’s general counsel Adele Faure and deputy general counsel Laura Brookover appealed to SEC Commissioner Hester Peirce, who heads the agency’s Crypto Task Force.
Faure and Brookover urged the SEC to make it clear that NFT marketplaces like OpenSea do not fall under the definition of an “exchange” as outlined in U.S. securities law.
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OpenSea: NFT Platforms Aren’t Exchanges Under Securities Law
OpenSea’s general counsel argued that platforms facilitating NFT trades do not execute transactions, act as intermediaries, or bring together multiple buyers and sellers for the same financial instrument.
“The Commission’s past enforcement actions have created legal uncertainty,” the letter stated. “We urge the Commission to remove this uncertainty and protect the ability of U.S. technology companies to lead innovation in the digital asset space.”
The request follows recent moves by the SEC to clarify its stance on other digital assets. On April 4, the SEC announced that certain stablecoins would be classified as “non-securities,” exempting them from transaction reporting requirements.
Similarly, a February staff statement from the SEC’s Division of Corporation Finance declared that meme coins are not considered securities but rather digital collectibles.
Today, OpenSea submitted a letter to the SEC Crypto Task Force detailing why NFT marketplaces like OpenSea aren’t exchanges or brokers under federal securities law. We also called for clear guidance to eliminate market uncertainty and support the growth of the NFT ecosystem.…
— Laura Brookover (@laurabrooksie1) April 9, 2025
Faure and Brookover believe the Crypto Task Force should follow suit with NFTs, arguing that OpenSea and similar platforms should not be subject to broker registration.
They emphasized that NFT marketplaces do not offer investment advice, hold user assets, or carry out financial transactions on users’ behalf.
“We ask the SEC to publish informal guidance to resolve confusion around NFTs,” they wrote. “In the long term, we urge the Commission to provide exemptions for NFT marketplaces from proposed broker regulations.”
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SEC Eases Crypto Stance Under Trump
The request comes as the SEC, under the Trump administration, gradually moves away from the more aggressive regulatory posture adopted under former Chair Gary Gensler.
In recent months, the agency has dropped multiple enforcement actions against crypto firms, including an earlier probe into OpenSea itself.
The change in approach coincides with a major shift in leadership. Former SEC Chair Gary Gensler, who had spearheaded an aggressive regulatory crackdown on the crypto industry, resigned.
During his tenure, which began in 2021, the SEC launched more than 100 enforcement actions against crypto firms.
Gensler’s departure occurred on the same day that Donald Trump, who has signaled a more crypto-friendly stance, began his second term as U.S. president. Trump had previously vowed to fire Gensler if elected, a promise that appears to have played a role in the SEC’s shifting regulatory tone.
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Key Takeaways
OpenSea has urged the SEC to exempt NFT marketplaces from being classified as securities exchanges.
The company argues that NFT platforms do not execute transactions or hold user assets, and therefore shouldn’t be subject to broker regulations.
The request aligns with the SEC’s recent softer stance on crypto under the Trump administration following Gary Gensler’s departure.
