## The new regulatory approach to cryptocurrencies under Atkins
Paul Atkins, the newly appointed chairman of the U.S. Securities and Exchange Commission (SEC), announced a major shift in the agency's policy towards cryptocurrencies and digital assets. During his participation in the fourth roundtable of the SEC's Crypto Working Group, Atkins unveiled his vision to make cryptocurrency regulation a top priority for his administration.
## Key pillars of the new policy
- Transitioning from "regulation by enforcement" to establishing clear and preemptive rules
- Focusing on three key areas: issuance, custody, and trading
- Developing a rational regulatory framework that adapts to the nature of digital assets
Atkins emphasized that "a new day has come for the Securities and Exchange Commission," noting that policy-making will no longer rely on "arbitrary enforcement actions" as in the past. Instead, the agency will use its rulemaking, interpretation, and exemption powers to create appropriate standards for market participants.
## Significant changes in regulatory policy
1. Addressing the shortcomings of traditional laws
Atkins criticized existing securities laws, describing them as incompatible with on-chain assets, which could "hinder the growth of blockchain technology." He noted that the previous administration followed what he called a "ostrich policy" - perhaps hoping that cryptocurrencies would disappear on their own.
### 2. Clear guidelines for issuance and custody
Atkins identified three key areas for cryptocurrency policy:
- Issuance, establishing clear guidelines for the issuance and distribution of cryptocurrencies classified as securities
- Custody clarifying the criteria for "qualified custodian" under the Advisors Act and the Investment Company Act
- Trading, developing appropriate regulatory frameworks for trading markets
### 3. Encouraging local innovation
Atkins affirmed that market participants "should not be forced to seek innovation using blockchain outside the United States," indicating that his administration would consider "exceptional exemptions" for entities offering new products that may not fully comply with current rules.
## Comparison with previous administration policies
Atkins's approach represents a radical shift from the policies of his predecessor Gary Gensler, whose administration was described as "hostile to cryptocurrencies." Under Gensler's leadership:
- Most cryptocurrencies (except Bitcoin) have been classified as securities
- The agency has filed over 100 lawsuits against cryptocurrency companies
- A climate of regulatory uncertainty prevailed in the sector
In contrast, Atkins's administration focuses on:
- A narrower classification of regulated digital assets
- Adopting a more focused and detailed approach
- Encouraging innovation while protecting investors
## Industry reactions and expected impacts
1. A broad sectoral welcome
Stakeholders in the cryptocurrency sector welcomed the announcement, considering it a "pivotal change" that clarifies the regulatory landscape and lowers barriers to entry. Clear rules are expected to reduce the legal uncertainties that have hindered project development and capital raising.
2. Effects on trading markets
Analysts indicate that this regulatory shift may lead to:
- Increasing trading volumes on cryptocurrency platforms
- Improving risk pricing for derivative products
- The emergence of more regulated offerings related to digital tokens
3. Integration with traditional finance
Major financial institutions like Nasdaq and DTCC are already integrating blockchain technologies into regulated markets. The SEC's new approach supports this trend toward integration between traditional and digital financial systems.
## Future vision and next steps
Atkins intends to convert existing informal guidance into binding formal rules to ensure consistency and transparency in digital asset oversight. Upcoming steps include:
1. Developing formal rule proposals. The SEC teams are working on detailed proposals to regulate cryptocurrencies.
2. Coordination with Congress and other entities. Atkins emphasized his intention to coordinate with the Trump administration and Congress to make the United States a global hub for cryptocurrency markets.
3. Reviewing custody rules may update custody rules to allow funds and advisors to engage in self-custody under certain circumstances.
4. A new framework for brokers. The SEC is considering creating a "special purpose broker-dealer framework" for better regulation of digital asset brokers.
## Summary
The new policies of Paul Atkins at the Securities and Exchange Commission represent a paradigm shift in the regulation of cryptocurrencies in the United States. By moving from a strict enforcement approach to establishing clear and comprehensive rules, the agency aims to strike a balance between encouraging innovation and protecting investors.
As the integration of digital assets into the mainstream financial system increases, this updated regulatory framework seeks to provide the legal certainty the industry needs to grow, laying the groundwork for a sustainable and transparent cryptocurrency ecosystem in the United States.#بول_أتكينز