Important Highlights
- Chair Paul Atkins says most crypto tokens aren’t securities; it’s all about context.
- He’s behind Project Crypto, a bold plan to bring financial markets on-chain.
- The SEC is finally talking about working with the industry, not just regulating it.
Chair Paul Atkins: “Most Crypto Tokens Aren’t Securities”
If you’ve been in the crypto space for a while, you know that regulation has always been a bit… muddy. But now, things might finally be changing.
At the recent Wyoming Blockchain Symposium, Chair Paul Atkins, head of the U.S. Securities and Exchange Commission (SEC), made it clear that he’s not here to crush innovation.
In fact, his message was the opposite. He believes that most crypto tokens aren’t securities, and that how a token is marketed matters more than the token itself.
“I only see a small handful of tokens that strike me as securities,” the chair Paul Atkins commented.“Whether a token is a security hinges on the context: the packaging, the marketing, and the sales process.”
That’s a major shift from what we’ve seen under former SEC Chair Gary Gensler, who took a much stricter view. Under Gensler, the SEC acted as if nearly every token was a security, leading to aggressive enforcement and countless lawsuits.
But Atkins? He’s indicating a shift toward a more astute and nuanced strategy.
Chair Paul Atkins Is Bringing Crypto Regulation On-Chain
Talk is one thing, but Chair Paul Atkins is already taking action. Just last month, the SEC launched Project Crypto, a new initiative that aims to bring U.S. financial markets on-chain and update outdated securities laws.
It’s a big vision. And analysts are taking notice.
Financial firm Bernstein called it “the boldest and most transformative crypto vision ever laid out by a sitting SEC chair.”
In the meanwhile, Project Crypto provides investors with a clear five-year vision, according to Bitwise CIO Matt Hougan.
So what’s the goal here? Atkins said that everything could eventually move on-chains including dollars, stocks and bonds.
For investors worldwide, it translates into more transparency, sharp transactions and simple access.
“We’re about innovation,” Atkins said. “Now, we want to embrace it.”
The SEC Might Finally Be Listening to the Industry
Crypto insiders have long begged for clear rules instead of random crackdowns. And finally, someone at the top seems to agree.
In a post on X (formerly Twitter), Chair Paul Atkins wrote:
“We should create a structure that provides evidence of crypto markets against regulatory mischief in future.”
That line says a lot. Instead of treating crypto like the wild west or a threat, Atkins is treating it like what it is: a growing part of the modern financial system.
He also mentioned plans to work closely with Congress and other government agencies. That’s a welcome change from the regulatory turf wars we’ve seen before.
If successful, this could lead to a truly modern framework for crypto that protects investors without stifling innovation.
