The U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) are set to formalize their cooperation on cryptocurrency regulation through a Memorandum of Understanding (MOU). This historic agreement aims to resolve jurisdictional ambiguities and establish a cohesive regulatory framework for digital assets. The detailed plans are expected to be unveiled on January 30, marking a significant policy shift towards regulatory clarity. The MOU seeks to define clear jurisdictional boundaries, addressing the longstanding question of whether a token is a security under SEC oversight or a commodity under CFTC jurisdiction. This cooperative approach is anticipated to provide the clarity needed by institutional and retail investors, potentially accelerating the approval of new financial products like spot Bitcoin ETFs. The agreement aligns with global trends of unified digital asset frameworks, enhancing market integrity and investor protection. The January 30 announcement is expected to cover key areas such as asset classification, exchange oversight, and stablecoin regulation. By formalizing cooperation, the SEC and CFTC aim to protect investors, ensure market fairness, and foster responsible innovation, setting a potential global standard for cryptocurrency regulation.