We have no idea what is going on with US Securities Regulations, which is actually worse than simply having bad regulations

In mid-February, the SEC issued a notice to Paxos, informing them that BUSD was a security and ordering them to stop issuance. Apart from this, SEC head Gary Gensler has wavered back and forth over several months, proclaiming conflicting statements that only Bitcoin and Ethereum are commodities and not securities, all coins and tokens are securities, and only Bitcoin is a commodity in order of chronology. However, the CFTC has taken a opposing stance to this.

In the suit against Binance, the CFTC declared Bitcoin, Ethereum and BUSD to be commodities, not securities, directly in opposition to previous SEC statements. In addition, the CFTC also declared Tether and Litecoin as well as a number of other unnamed tokens to be commodities.

While it is good that there is some amount of 'regulatory fairness' in the CFTC pushback,the whole situation in a way worse than the SEC simply giving something like a declaration that only Bitcoin is a security. Although I understand the majority of it is due solely to the SEC because of their refusal for clear regulations and their regulations by enforcement.

The thing is, even if all tokens were declared as securities, at least companies could set up themselves to be in line with securities regulations and function without harassment and threats from regulators. As it is now, companies don't know if to go under securities regulations or function as if it were commodities. In such conditions, companies simply cannot make investments to improve their products and services for customers else risk a big fine(s), hits to reputation and big losses in the future. The SEC allegations that staking/'Earn' products being securities and the chaos of fine, lawsuits and losses that erupted out from this is a good example. So instead everyone just suffers.