U.S. Securities and Exchange Commission (SEC) Chair Paul Atkins, speaking at the Wyoming Blockchain Symposium in Jackson Hole on Tuesday, announced a fundamental shift in the agency's approach to cryptocurrency regulation. He stated that very few crypto tokens should be considered securities, directly contradicting the stance of his predecessor, Gary Gensler, who had asserted the 'vast majority' of crypto assets were securities under the Howey test.
This new perspective is part of the SEC's 'Project Crypto' initiative, an ambitious plan to establish clear rules for digital assets. Atkins explained that the agency will no longer default to viewing tokens themselves as securities but will instead evaluate the specific circumstances and 'package' around how they are sold. This represents a move away from a 'regulation by enforcement' model towards a more proactive framework designed to attract and retain crypto innovation within the United States.
Project Crypto aims to provide tailored disclosures, specific exemptions, and safe harbors for various crypto offerings, including initial coin offerings (ICOs), airdrops, and network rewards. This initiative seeks to reduce regulatory uncertainty that has previously driven businesses offshore. Meanwhile, Congress is also moving forward with its own legislation, the Digital Asset Market Clarity (CLARITY) Act, which passed the House in July. Senate Banking Committee Chair Tim Scott, also speaking at the symposium, suggested strong bipartisan support for market structure legislation when the Senate reconvenes in September.