a digital asset should be analyzed to determine whether it has the characteristics of any product that meets the definition of “security” under the federal securities laws. in this guidance, we provide a framework for analyzing whether a digital asset is an investment contract and whether offers and sales of a digital asset are securities transactions. although no one of the following characteristics is necessarily determinative, the stronger their presence, the more likely it is that a purchaser of a digital asset is relying on the “efforts of others”: in evaluating whether a digital asset previously sold as a security should be reevaluated at the time of later offers or sales, there would be additional considerations as they relate to the “efforts of others,” including but not limited to: an evaluation of the digital asset should also consider whether there is a reasonable expectation of profits. it also identifies some of the factors to be considered in determining whether and when a digital asset may no longer be a security.