XRP Just Got a Big Regulatory Boost. Here’s the Latest from the SEC

The SEC’s regulatory posture toward crypto has shifted substantially in 2026. On September 25, the agency’s Division of Corporation Finance published a detailed FAQ page addressing the classification of crypto assets under federal securities law.

The document builds directly on the landmark March Interpretive Release, which the SEC issued jointly with the CFTC and explicitly classified XRP as a digital commodity.

What the September 25 FAQ Establishes

The FAQ clarifies several key points from the March release. On staking, it confirms that a Staking Receipt Token issued by a protocol-based Liquid Staking Provider qualifies as a digital commodity when it derives its value from “the programmatic operation of a crypto system that is functional, as well as supply and demand dynamics.”

The document also confirms that once a crypto system is functional, activities to maintain, secure, or improve it do not constitute essential managerial efforts under the Howey test. That matters for XRP because it removes a key argument the SEC previously used to pursue securities enforcement.

XRP’s Position in the Framework

The March Interpretive Release named XRP directly as a digital commodity. The March 2026 release says that, based on the characteristics, terms, and XRP’s functions as of the release date, the Commission concludes XRP is a digital commodity. This matches the court ruling that XRP in itself is not a security.

The September FAQ reinforces that classification by building out the legal architecture around it. Rietveld noted that “the SEC’s own framework lists XRP as a digital commodity,” and the FAQ confirms that framework carries formal agency authority, even though it stops short of statutory law.

What This Means for Institutional Access

Rietveld argued that institutions waiting for regulatory clarity before getting more involved with XRP now have reason to act. The September FAQ strengthens that case. It narrows liability for platforms listing XRP, reducing friction for institutional participation.

The CLARITY Act failed its Senate cloture vote 49-50, with no Democratic support. The SEC FAQ acknowledges its own limits: “These FAQs have no legal force or effect, do not alter or amend applicable law, and do not create any new or additional obligations for any person.”

The agency is building a regulatory structure through guidance rather than statute. That structure now includes the March Interpretive Release, the innovation exemption under Project Crypto, and the September 25 FAQ. Together, they represent the most defined regulatory environment XRP has operated in.