On June 10, Arthur Cheong described a major reversal in US crypto policy. He said, “US flip 180° from crypto hostile to very progressive in approaching DeFi.” He contrasted this shift with cautious approaches seen in other regions. EU crypto policy remains more conservative than the new US stance. His remarks followed a speech by SEC Chairman Paul Atkins at a Washington roundtable. The event focused on regulatory changes affecting DeFi innovation and market access. Readers should note how US regulators now embrace blockchain engagement.
Paul Atkins Criticizes Past US Crypto Policy for Hindering Blockchain Innovation
Paul Atkins addressed how the US crypto policy had impacted blockchain adoption in the past. He said enforcement had “discouraged Americans from participating in blockchains through lawsuits, speeches, regulation, and threatened regulatory action.” Moreover, noting that this stance hindered public confidence and slowed innovation. Atkins welcomed a recent clarification by the Division of Corporation Finance. He warned that such guidance lacked legal force without formal rulemaking. He urged the SEC to pursue binding regulations for clarity. The SEC chairman also stressed that binding rules prevent arbitrary enforcement and support fair markets.
Self-Custody Defended as a Foundational American Value in Digital Finance
He emphasised individuals’ right to hold their digital assets themselves. Adding that self-custody is “a foundational American value that should not disappear when one logs onto the internet.” He argued that developers of self-custodial code should not become financial intermediaries. Labeling code creators as intermediaries could hurt blockchain progress. He called for clear legal definitions to avoid developer uncertainty. Clear rules will help the market grow without needless risks. He also said clearer standards can build user trust in emerging platforms.
SEC Chairman Calls for Adaptive Rules to Address Decentralized Finance Challenges
Atkins highlighted autonomous on-chain software that operates without central admins. The SEC head said these decentralized systems have shown resilience and efficiency in crises. Additionally, he suggested that old securities rules may not fit this innovation. He noted traditional frameworks center on intermediaries and may need updates. He urged the Commission to consider modern adjustments for decentralized finance. Updating rules could reduce legal uncertainty and support efficient blockchain services. His remarks underscored the need for adaptive regulation aligned with rapid innovation.
SEC chairman proposed an “innovation exemption” to let new products enter under set conditions. This temporary measure would operate while broader rules are developed. He said this step could strengthen US blockchain leadership globally. SEC Chairman Paul Atkins urged staff to assess changes to existing rules for on-chain financial systems. He noted that clearer frameworks could guide both issuers and intermediaries in digital markets. This plan aimed to reduce uncertainty and encourage balanced progress across crypto sectors. Stakeholders are seeking clear pathways to bring compliant products to market.
How the EU, Singapore, and Hong Kong Crypto Policies Differ
Different regions pursue varied crypto regulations reflecting unique priorities. EU crypto policy remains steady and cautious on digital assets and decentralized finance. In Asia, Singapore enforces tighter rules while Hong Kong welcomes Web3 firms with friendlier guidelines. A Hong Kong legislator invited blockchain companies to relocate under supportive frameworks. These regional differences underscore competition and evolving global regulatory landscapes. These evolutions reflect dynamic balances between innovation, risk, and consumer protection.
The post DeFiance Capital CEO Arthur Cheong Responds to SEC Chairman Paul Atkins’ DeFi Remarks, Highlighting U.S. Progress Compared to EU and Asia appeared first on Coinfomania.
