1. Core Objectives**
- **On-Chain Securities Markets**: Shift traditional financial instruments (stocks, bonds) to blockchain for faster settlement, transparency, and reduced intermediation .
- **Regulatory Modernization**: Update "antiquated" SEC rules to accommodate crypto-based trading, including tokenized equities and real-world assets (RWAs) .
- **Super-App Licensing**: Streamline regulations for crypto "super-apps" (e.g., Coinbase’s integrated platforms) to bundle services like trading, payments, and social features under one license .
### **2. Key Policies**
- **Tokenization Push**: Enable blockchain representations of public securities (e.g., BlackRock’s tokenized funds) to improve liquidity and accessibility .
- **Reduced Intermediation**: Allow markets to function without forced intermediaries where blockchain efficiency suffices .
- **Pro-Innovation Stance**: Reverse Gensler-era enforcement actions, dropping lawsuits against firms like Coinbase and Ripple .
### **3. Political Context**
- Part of Trump’s agenda to make the U.S. the "crypto capital of the world," aligning with the **GENIUS Act** for stablecoins and **CLARITY Act** for asset classification .
- Critics warn of risks: lax oversight could repeat FTX-style collapses, while proponents argue it attracts innovation .
### **4. Impact & Timeline**
- **Institutional Adoption**: Firms like Robinhood and Kraken are testing tokenized equities abroad, awaiting SEC approval for U.S. rollout .
- **Phase-In**: Rules expected by 2026, with a 270-day deadline for finalization post-enactment .
Project Crypto signals a seismic shift from adversarial regulation to collaborative framework-building, though balancing innovation with investor protection remains contentious .
