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OpenSea’s legal team is calling on the U.S. Securities and Exchange Commission (SEC) to stop regulating NFT marketplaces under federal securities laws. In a formal letter to SEC Commissioner Hester Peirce, who leads the agency’s crypto-focused working group, OpenSea attorneys Adèle Four and Laura Brookover argued that NFT trading platforms like OpenSea do not meet the legal definition of a securities exchange.

“NFT Marketplaces Are Not Securities Exchanges,” Say OpenSea Lawyers

The letter emphasized that under current U.S. securities laws, NFT platforms should not be classified as exchanges, as they do not execute transactions, do not act as intermediaries, and do not aggregate multiple sellers of the same asset—all characteristics typically associated with regulated securities exchanges.

No Role as Brokers or Custodians

The lawyers further requested that the crypto task force formally exempt NFT platforms from broker-dealer registration requirements, noting that NFT marketplaces do not provide investment advice, do not conduct transactions, and do not hold customer assets.

“We respectfully ask the SEC to eliminate the ongoing confusion in the industry by issuing informal guidance,” Four and Brookover wrote.

“In the long term, we propose that the Commission exempt NFT marketplaces like OpenSea from the proposed broker activity regulations.”

Signs of Support from the SEC?

OpenSea’s legal team believes there is a strong foundation for optimism, especially considering recent developments. Since Donald Trump’s return to the White House, the SEC leadership has dropped multiple investigations into crypto firms, including one that was previously opened against OpenSea itself.

This policy softening may indicate that the SEC is willing to adopt a more flexible and innovation-friendly stance—a major shift from its previous hardline approach under former Chairman Gary Gensler.

A Call for Clarity in a Rapidly Evolving Market

The push from OpenSea’s legal team comes at a critical time for the NFT industry. While NFT markets have matured significantly, regulatory ambiguity remains a major obstacle. By excluding NFT platforms from securities regulations, OpenSea argues that the SEC can foster innovation while maintaining investor protections through other legal frameworks.

Their request reflects growing pressure from the crypto community to ensure that NFTs are not subjected to the same regulations as traditional financial instruments, which could stifle growth and push companies offshore.

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Margharet Tess

Editor, Developer at Cryptheory Labs

I have been active in the cryptocurrency world for over 6 years, during which I have written countless articles about this sector. What fascinates me most about cryptocurrencies is their technological aspect and the problems they aim to solve. In the past three years, I have ventured into app development and am currently working on a larger project called P2E Buzzer. Stay tuned for the surprise. 🙂 My previous experiences: Business2Community.com, TradingPlatforms.com

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