If that were the whole definition of a security, then interest-bearing savings accounts would be considered a SEC-regulated security. But they aren’t, for a very simple reason also outlined in securities law: They have no term nor maturity. Money can be withdrawn at will. There is no obligation to keep your money deposited in order to get paid for the time it has already been deposited.
It isn’t clear to me how this is different from a savings account, which are not even in the legal jurisdiction of the SEC.
This honestly smells of the usual turf war bullshit between the CFTC and SEC, just like the one that cause forex brokerages to completely separate from securities brokerages. The SEC wanted control over forex but they couldn’t have it, so they regulated the shit out of securities brokerages in order to twist the CFTCs arms.
It isn’t clear to me how this is different from a savings account, which are not even in the legal jurisdiction of the SEC.
This honestly smells of the usual turf war bullshit between the CFTC and SEC, just like the one that cause forex brokerages to completely separate from securities brokerages. The SEC wanted control over forex but they couldn’t have it, so they regulated the shit out of securities brokerages in order to twist the CFTCs arms.