OpenSea has formally requested the US Securities and Exchange Commission (SEC) to exclude NFT marketplaces from regulation under federal securities laws. In a letter addressed to Commissioner Hester Peirce, OpenSea's legal team argued that these marketplaces do not qualify as exchanges, as they do not facilitate transactions or act as intermediaries among multiple sellers for the same asset. They expressed concern over the regulatory uncertainty created by the SEC’s previous enforcement actions and requested that the Commission clarify the status of NFT marketplaces. Further, OpenSea recommended that the SEC issue informal guidance specifically addressing the application of exchange regulations to non-fungible assets and exempt NFT marketplaces from broker registration, asserting that they neither provide investment advice nor execute transactions. This plea comes as the SEC has recognized some NFTs as collectibles rather than securities, hence exempting them from certain regulatory requirements, signaling a potential shift towards a clearer regulatory framework for the NFT industry.

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