A recent court ruling has challenged the U.S. Securities and Exchange Commission's (SEC) expansive interpretation of its regulatory authority under the Investment Contracts doctrine. The court highlighted the historical anomaly in the SEC's approach, which, for the first time in over 90 years, sought to regulate transactions as investment contracts without any contractual obligations or undertakings. This decision underscores the ongoing debate over the SEC's reach in the cryptocurrency and broader financial markets, particularly under the leadership of Gary Gensler.