#ProjectCrypto 🚀 What is Project Crypto?

Project Crypto is an agency-wide effort aimed at modernizing the SEC’s regulatory framework to support digital assets and on‑chain financial markets in the U.S.

Key elements include:

Defining token classifications: The program will clarify when tokens qualify as securities, commodities, stablecoins, or simply digital assets—to reduce legal ambiguity .

Easing ICO and token issuance rules: Offering exemptions, safe harbors, and grace periods for initial coin offerings (ICOs), airdrops, staking rewards, and token launches .

Promoting tokenized securities: Creating a legal pathway for traditional assets—like stocks and bonds—to be issued and transacted on blockchains .

Enabling unified trading platforms ("super-apps"): Broker-dealers and alternative trading systems could offer both security and non‑security crypto products under one license, including staking and lending services .

Modernizing custody rules: Exploring updated custody regulations and potential exemptions to accommodate crypto assets and self-custody options .

Supporting decentralized finance (DeFi): Creating space for both centralized intermediaries and fully decentralized on‑chain systems within the regulatory framework .

Introducing an innovation exemption: A principles-based, streamlined approval path that allows new technology models to launch quickly—while maintaining investor protections .