Securities and Exchange Commission (SEC) Chair Paul Atkins has unveiled ‘Project Crypto,’ a sweeping initiative aiming to reposition the U.S. as a global leader in bitcoin and blockchain innovation.
This announcement marks a decisive break from the enforcement-heavy approach of former chair Gary Gensler.
Atkins outlines new priorities
Atkins’ Thursday address laid out a roadmap for the SEC, emphasizing clear rules for bitcoin custody, trading, and allowing intermediaries such as exchanges to become ‘super-apps’ offering a range of services.
He urged for a regulatory stance that meets innovation “with thoughtfulness rather than fear,” stating:
“When our regulatory posture is calibrated to meet innovation with thoughtfulness rather than fear, America’s leadership position has only grown stronger.”
He also highlighted the importance of modernizing custody requirements and fostering experimentation with on-chain technologies, including tokenizing traditional assets.
Return of companies to the US
A central goal of Project Crypto is to encourage companies that left the U.S. during the Gensler era to return by creating a friendlier regulatory environment.
Atkins stressed the need to support ‘builders’ and facilitate new business models, in contrast to the previous administration’s focus on enforcement.
Gensler era comes to an end
Under Gensler, the SEC targeted major bitcoin companies like Coinbase and Gemini, citing alleged violations of securities laws.
Atkins, a former SEC commissioner and adviser to blockchain projects, is seen as part of a broader shift driven by the 2024 election, which saw pro-bitcoin officials appointed across the administration.
The SEC, even before Atkins’ swearing-in, began reversing key Gensler actions, including dropping lawsuits against exchanges and embarking on new rulemaking.
Ongoing debate in Congress
While Atkins sets a new tone at the SEC, Congress remains locked in debate over broader digital asset legislation, with the House passing a bill but the Senate yet to act.
