SEC Statement on PoW: Potential Boost for BTC, Doge , and LTC Prices in 2025

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TL;DR

  • The SEC’s March 20, 2025, statement clarifies that certain Proof-of-Work (PoW) mining activities are not subject to securities regulations, a pivotal shift for the cryptocurrency market.

  • This regulatory clarity is poised to enhance investor confidence, potentially lifting the prices of PoW tokens such as Bitcoin (BTC), Dogecoin (DOGE), and Litecoin (LTC). Potential Exchange-Traded Funds (ETFs) for DOGE and LTC launching in 2025 could further boost their appeal and accessibility to mainstream investors.

  • Investors can leverage this opportunity by mining through established pools like ViaBTC, to acquire tokens and strengthen their portfolios.

Background

On March 20, 2025, the United States Securities and Exchange Commission’s (SEC) Division of Corporation Finance issued the “Statement on Certain Proof-of-Work Mining Activities,” declaring that specific proof-of-work (PoW) mining operations are not subject to federal securities regulations. This announcement pertains to cryptocurrencies like Bitcoin (BTC), Dogecoin (DOGE), and Litecoin (LTC), which rely on PoW as their consensus mechanism, marking a significant shift in the regulatory landscape for these assets.

SEC Statement on PoW Activities May Open up A New Era for Cryptocurrencies

The SEC’s historical skepticism regarding the classification of cryptocurrencies as securities has long cast a shadow over the industry. Under U.S. law, a financial instrument is deemed a security if it meets the criteria outlined in the Howey Test, which includes an investment of money in a common enterprise with an expectation of profits derived from the efforts of others. Should cryptocurrencies be classified as securities, they would face stringent regulatory requirements, including registration with the SEC and compliance with disclosure obligations. Such oversight could stifle innovation, limit market participation, and exert downward pressure on token prices due to increased operational costs and legal uncertainties. For years, this ambiguity has deterred institutional investors and constrained the growth potential of PoW-based cryptocurrencies, as the specter of enforcement actions loomed large.

The “Statement on Certain Proof-of-Work Mining Activities” issued on March 20, 2025, effectively dispels these concerns by affirming that PoW mining, whether conducted solo or through mining pools, does not constitute a securities transaction. The SEC’s reasoning hinges on the operational nature of mining, which it characterizes as an administrative or ministerial function rather than an investment contract reliant on third-party managerial efforts (SEC, 2025). This distinction is crucial, as it aligns PoW cryptocurrencies more closely with commodities like gold or oil, which are regulated differently and face fewer restrictions. By resolving this regulatory uncertainty, the SEC has provided a clear signal to the market that PoW tokens are not subject to the same oversight as traditional securities, thereby reducing compliance burdens for miners and enhancing the appeal of these assets to investors.

The timing of this announcement is particularly significant given the cryptocurrency market’s current dynamics. As of late March 2025, the sector is navigating a period of consolidation, with prices of major tokens retreating from their peaks. This correction has rendered PoW tokens more affordable, presenting an opportune moment for investors to enter the market. The SEC’s statement is likely to act as a catalyst, boosting investor sentiment and driving demand for BTC, DOGE, LTC, and other related tokens. Some analysts anticipate that this newfound clarity could spur a rally in the short to medium term, as market participants capitalize on the reduced regulatory risk and the potential for innovative financial products tied to these cryptocurrencies (CoinGecko, 2025). In essence, the SEC’s decision marks a turning point, positioning PoW tokens for a potential resurgence in value and relevance.

Market Prospects for Dogecoin and Litecoin

While Bitcoin remains the preeminent PoW cryptocurrency, commanding the largest market capitalization and widest recognition, the SEC’s statement also holds profound implications for altcoins like Dogecoin and Litecoin. These tokens, which share Bitcoin’s PoW consensus mechanism, stand to benefit from the same regulatory clarity, potentially elevating their status in the eyes of investors and financial institutions. 

Dogecoin, originally launched as a lighthearted meme-inspired currency in 2013, has evolved into a widely adopted digital asset, buoyed by its active community and utility in microtransactions. Litecoin, created in 2011 as a “lighter” alternative to Bitcoin, offers faster transaction times and a distinct mining algorithm, making it a staple in the altcoin ecosystem. Both cryptocurrencies have garnered significant attention in recent years, with speculation mounting about their potential inclusion in exchange-traded funds (ETFs) in 2025.

The prospect of ETFs for Dogecoin and Litecoin has been a topic of fervent discussion within the cryptocurrency community. ETFs, which allow investors to gain exposure to an asset without directly owning it, have proven transformative for Bitcoin, with multiple BTC ETFs approved in prior years. The SEC’s clarification on PoW mining strengthens the case for DOGE and LTC ETFs by reducing the regulatory hurdles that previously complicated their approval. Market analysts suggest that the alignment of PoW tokens with commodity-like status could pave the way for these altcoins to follow Bitcoin’s footsteps into mainstream financial markets (Bloomberg Intelligence, 2025). Should these ETFs materialize, they would likely attract institutional capital, driving demand and, consequently, the prices of Dogecoin and Litecoin higher.

Dogecoin Support Price Levels: As of March 27, 2025, Dogecoin is trading well below its historical highs amidst a subdued cryptocurrency market. According to CoinMarketCap (2025), its first support level is around $0.15, with a second support level at approximately $0.10. These thresholds offer potential entry points for investors looking to benefit from a rebound spurred by the SEC’s recent statement on PoW activities.

Litecoin Support Price Levels: Litecoin, similarly affected by the current market downturn, shows a first support level near $80 and a secondary support range between $70 and $65, as per CoinGecko (2025) data. These price points highlight the token’s affordability and attractiveness for investors anticipating a recovery, bolstered by regulatory clarity and the prospect of ETF launches in 2025.

Resort to Mining Pools to Boost Your Portfolio

For investors seeking alternative avenues to acquire PoW tokens such as BTC, DOGE, and LTC, mining presents a viable strategy. Unlike direct purchases on exchanges, mining allows individuals to earn cryptocurrencies by contributing computational resources to validate blockchain transactions. However, the complexity and resource demands of solo mining—particularly for Bitcoin—often render it impractical for individual investors. This is where mining pools come into play, offering a collaborative approach that aggregates the computing power of multiple participants to increase the likelihood of earning rewards. By joining a mining pool, investors can secure a steady stream of tokens proportional to their contributed hashrate, making it an efficient method to bolster their cryptocurrency portfolios.

CoinEx Exchange, a trusted platform in the cryptocurrency space, is uniquely positioned to support such endeavors through its affiliation with ViaBTC, one of the world’s top-tier mining pools. Established in 2016, ViaBTC has grown into a global leader, serving over one million users across more than 130 countries and supporting the mining of multiple PoW cryptocurrencies, including BTC, LTC, and DOGE (ViaBTC, 2025). A standout feature of ViaBTC is its support for merged mining, a process that enables miners to simultaneously mine Litecoin and Dogecoin using the same computational resources. This synergy enhances profitability, as miners receive rewards in both LTC and DOGE without compromising their hashrate allocation. ViaBTC’s integration with CoinEx further streamlines the experience, allowing users to withdraw their mining proceeds directly to the exchange without incurring fees, thereby maximizing returns.

The advantages of leveraging a mining pool like ViaBTC extend beyond convenience. The pool offers flexible payment models, such as PPS+ (Pay Per Share Plus) and PPLNS (Pay Per Last N Shares), catering to different risk appetites and investment goals. PPS+ provides a stable payout structure, ensuring miners receive consistent rewards regardless of block discovery, while PPLNS ties earnings more closely to the pool’s overall success, potentially yielding higher returns during prosperous periods (ViaBTC, 2025). For investors eyeing the SEC-driven upside in PoW tokens, participating in ViaBTC’s mining ecosystem offers a proactive way to accumulate BTC, DOGE, and LTC at a time when their prices may be poised for growth. As the market responds to the SEC’s statement, mining could serve as both a hedge against volatility and a means to capitalize on the anticipated appreciation of these assets.

Conclusion

The SEC’s March 20, 2025, statement exempting certain proof-of-work (PoW) mining activities from securities regulations marks a pivotal shift for cryptocurrencies like Bitcoin, Dogecoin, and Litecoin. This regulatory clarity removes a significant barrier, fostering an environment ripe for price growth and institutional adoption. Investors now have a timely opportunity to explore BTC, DOGE, and LTC, either by purchasing at current support levels or engaging in mining via pools like ViaBTC. 

The potential for Dogecoin and Litecoin ETFs in 2025 further enhances their appeal, promising greater integration into mainstream finance. As the market recovers from recent stagnation, this development could drive PoW tokens to new heights. Investors should track trends while weighing mining’s benefits against factors like network difficulty. The SEC’s stance offers a stable foundation for strategic investments, positioning PoW cryptocurrencies for a transformative phase in 2025.

References

Bloomberg Intelligence. (2025). Cryptocurrency ETF Approval Odds for 2025. Retrieved from [Bloomberg database].

CoinGecko. (2025). Cryptocurrency Prices and Market Data. Retrieved from https://www.coingecko.com/en/coins/

CoinMarketCap. (2025). Cryptocurrency Market Capitalizations. Retrieved from https://coinmarketcap.com/currencies/

Securities and Exchange Commission (SEC). (2025). Statement on Certain Proof-of-Work Mining Activities. Division of Corporation Finance. Retrieved from https://www.sec.gov

ViaBTC. (2025). About ViaBTC Mining Pool. Retrieved from https://www.viabtc.net/?lang=en_US

BTC
4.9%
DOGE
8.14%
Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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