Matt Hougan, Chief Investment Officer at Bitwise Asset Management, has identified Ethereum (ETH), other Layer 1 blockchains, and decentralized finance (DeFi) platforms as prime investment opportunities following the U.S. SEC's unveiling of 'Project Crypto'. SEC Chairman Paul Atkins' July 31 speech outlined a strategic initiative to position the U.S. as the global blockchain leader through regulatory modernization, innovation support, and fostering environments for DeFi and 'super-apps' like Coinbase and Robinhood.
Hougan described Atkins' speech as "the most bullish document I've read on crypto", emphasizing it provides a clear five-year roadmap for blockchain integration into traditional finance. He specifically recommended exposure to Layer 1 blockchains—including Solana (SOL), Cardano (ADA), XRP, Avalanche (AVAX), Aptos (APT), Sui (SUI), and NEAR—as foundational infrastructure for asset tokenization. "The best approach is to buy a basket of leading assets... to get exposure to whichever turn out to be top," Hougan advised.
For DeFi, Hougan highlighted platforms like Uniswap (UNI), which processed $88 billion in June volume, and Aave (AAVE), with $56 billion in total value locked. He projected potential 10x to 100x growth under clearer regulations. Hougan contends the market hasn't priced in this regulatory pivot, noting "It's not priced in" despite the SEC's shift from enforcement to integration-focused policies.