Vault12 says its 2018 token sale fits that path almost exactly: it has fulfilled or formally abandoned every commitment in its white paper, yet its token has never been listed. Its concerns echo a comment letter from industry group The Digital Chamber, which Vault12 says it supports.

Exchanges Vault12 approached about listing VGT wanted assurance that the SEC would not later challenge the token’s status, according to the letter. The company argued that the proposed safe harbor does not provide enough certainty for them to proceed.

The SEC’s proposed Regulation Crypto Assets would create exemptions for token fundraising and a conditional safe harbor for ending an investment contract associated with a token. To use the safe harbor, issuers would have to complete or permanently stop promised essential managerial efforts, make no new such commitments and have no intention of doing so.

They would also file a transition report, known as Form TR, explaining their conclusion, according to the SEC’s proposal.

Vault12 said exchanges considering a VGT listing repeatedly raised the same question: “How do we know the SEC won’t later say VGT is still subject to the old investment contract?”

The SEC’s proposal says the agency could challenge whether an issuer met the safe harbor’s conditions. If a certification was inaccurate, the regulator could conclude that the investment contract had not ended and securities-law requirements continued to apply.