Token or security?

In the US SEC’s lawsuit against Kraken, the US SEC reiterated its view that mainstream tokens such as Solana’s SOL and Cardano’s ADA are securities.
According to market data, many of the named coins have even outperformed Bitcoin as part of the broader market rally. These tokens are up an average of 41% year to date.
But are tokens securities?
The reason tokens are considered securities is because they meet the definition of a traditional security, which is a form of investment contract that involves an investor investing money with the expectation of receiving future returns from it. This may include investment in the project, sharing in profits, or some level of involvement in the decision-making process.
Most token companies typically argue that their tokens are not securities, but tokens that have utility or purpose. They may emphasize the token’s practical use, such as for accessing specific services on the platform, participating in the governance of the ecosystem, or as a virtual currency.
I believe that as the blockchain and crypto space develops, traditional regulations and regulatory models may need to be updated and rethought to better suit this emerging industry. Since the definition of tokens is so controversial, perhaps we should consider clarifying a new concept.