Paul Atkins, newly appointed SEC Chair, announces a shift toward a friendlier crypto regulatory environment aimed at rulemaking, unveiled at an SEC roundtable on May 12, 2025.
The new regulatory approach is expected to foster growth in the crypto market, benefiting major digital assets and providing clearer guidance as market participants respond positively.
Atkins Proposes Structured Rulemaking Over Ad Hoc Actions
Paul Atkins, nominated by President Trump, has taken office as the SEC Chair. He addresses cryptocurrency regulation with a more structured, rule-based framework. His approach marks a departure from past practices under former leadership.
“It is a new day at the SEC. Policymaking will no longer result from ad hoc enforcement actions…” — Paul S. Atkins, SEC Chair
Atkins outlines plans for public rulemaking and safe harbor provisions. This move aims to avoid enforcement solely through ad hoc actions and proposes more consistent guidance. Industry stakeholders view this as a positive shift in policy direction.
Market Optimism Grows Amid Regulatory Clarity
The regulatory pivot has stirred optimism among market participants. Cryptocurrencies like Bitcoin and Ethereum are seen as potential beneficiaries of clearer rules and exemptions. However, precise financial impacts remain speculative as strategies unfold.
Experts highlight that the SEC’s friendlier tone may encourage DeFi development and innovation. Historical trends show regulatory clarity often results in market growth. This shift could align the U.S. with jurisdictions supporting crypto advancement.
SEC’s Past Policies and Peirce’s 2021 Plan Resurface
Atkins’ proposal recalls Hester Peirce’s 2021 safe harbor plan. Historical parallels indicate similar initiatives allowed blockchain projects time to mature. Under prior leadership, the SEC’s strict stance faced industry pushback and stifled innovation.
Insights from Kanalcoin suggest potential positive outcomes prompted by renewed regulatory clarity. Data indicates that market confidence typically improves with predictable rules, which this policy shift aims to achieve.
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