The Securities and Exchange Commission's (SEC) Division of Corporation Finance stated that, under certain conditions, it will not recommend enforcement action regarding the programmatic issuance of Canton Coin (CC) and will treat it as a digital commodity. In a no-action letter issued on Tuesday, the division noted that the value of Canton Coin is derived from the programmatic operation of the Canton Network and supply-demand dynamics, rather than the expectation of profits from the managerial efforts of others. The letter also mentioned the network's lack of a central party. This letter reflects the enforcement stance taken by the Division of Corporation Finance based on the specific facts and representations submitted by Canton, and does not represent a legal conclusion on whether Canton Coin is a security or similar matters. Canton Network is a blockchain infrastructure protocol developed by Digital Asset, designed to enable secure, private, and interoperable transactions between institutions and networks. a16z partner Miles Jennings welcomed the move, suggesting it may signal a broader regulatory pathway for blockchain network tokens.