SEC Chairman Announces A New Cryptocurrency Era With the Promotion of Unified Market Rules
The Chairman of the U.S. Securities and Exchange Commission (SEC), Paul Atkins, speaking at the SEC Speaks conference on May 19, sharply criticized the agency's previous approach to cryptocurrency and digital asset markets and outlined a new direction focused on transparency, engagement, and modernization of regulation. Atkins stated that the SEC is not keeping pace with innovation and too often responds with enforcement actions rather than recommendations. He described how cryptocurrency market participants were invited to meetings only to then receive subpoenas, calling this a barrier to open dialogue and progress.
Atkins announced that the SEC is shifting gears, stating:
A new day is beginning at the Securities and Exchange Commission. While I have tasked Commission staff in various divisions to begin developing proposals for rules related to cryptocurrency, staff continue to 'clear the ground' through staff-level statements.
According to him, these interim statements are intended to help fill the regulatory gap until official rules are developed. Although such staff statements are not mandatory, Atkins explained their importance: "While staff opinions are not the rules or regulations of the Commission, they can provide useful information to the public. Ultimately, the Commission is, of course, responsible and must directly address these issues to ensure the public has clear rules of the road."
Speaking about structural reforms, Atkins proposed making significant changes to operations that would allow registered organizations to manage both securities and non-securities under a single regulatory framework. The Chairman of the Securities and Exchange Commission explained:
I would like the Commission to allow SEC-registered companies to store and trade both securities and non-securities under one roof. This could reduce costs for investors while speeding up the transition of non-security trading into a federally regulated environment.
"This would be the first step towards creating a 'super app,'" he added, thanking Commissioner Hester Peirce, the cryptocurrency working group, and the trading and markets staff for their tireless efforts. Atkins' statements reflect a notable departure from the previous SEC leadership, which many in the crypto industry viewed as hostile and opaque. His speech indicates a new openness to dialogue and recognition that existing structures must evolve to keep pace with rapidly developing technologies.