"a contract, transaction or scheme whereby a person invests his money in a common enterprise and is led to expect profits solely from the efforts of the promoter or a third party."

SEC v. W.J. Howey Co., 328 U.S. 293 (1946)

Almost every crypto project passes the Howey test because in almost every case for a crypto project you can identify a third party or a promoter or a company driving the effort of promoting their unregistered security.

#Bitcoin fails the Howey test.