What are securities?
Securities are negotiable financial instruments representing ownership (equity securities like stocks), creditor relationship (debt securities like bonds), or rights to ownership or debt (derivative securities like options and warrants). In the U.S., securities are governed by the Securities Act of 1933 and Securities Exchange Act of 1934; in Türkiye, by the Sermaye Piyasası Kanunu (Capital Markets Law No. 6362).
The legal classification of an instrument as a “security” — particularly under the Howey Test — triggers extensive registration, disclosure and anti-fraud requirements. Misclassification of an offering is a leading source of regulatory enforcement risk, especially for crypto and tokenised assets.