Grayscale has been asked by the U.S. Securities and Exchange Commission (SEC) to withdraw the registration statement for its Filecoin Trust as the SEC believes that Filecoin's FIL token is a security under relevant laws. Grayscale has argued that the token is not a security and intends to respond to the SEC. However, it is uncertain whether the SEC will agree with Grayscale's argument or take action against Filecoin or any of Grayscale's other cryptocurrency trusts. The news briefly caused a 3% drop in Filecoin's value, but it has since recovered.