Crypto’s Green Light: SEC Shifts on Tokens, Embraces Super-Apps

Significant shifts are underway in the United States concerning the regulatory approach to cryptocurrencies, with Paul Atkins taking the helm at the SEC. The previous enforcement-heavy strategy is being replaced by a more cohesive and predictable regulatory structure. Read on for a comprehensive overview.

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        <h2 class="in-brief--title">In brief</h2>
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                <li>The SEC is now of the opinion that the majority of crypto tokens do not qualify as financial securities.</li>
                <li>A unified framework is being developed to govern crypto trading, lending, and staking activities across integrated platforms.</li>
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<h2 id="h-the-sec-turns-the-page-on-mass-litigation">SEC Shifts Focus Away from Extensive Legal Action</h2>

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    The newly appointed head of the <a href="https://www.cointribune.com/en/tag/securities-and-exchange-commission-sec-en/" target="_blank" rel="noreferrer noopener">Securities and Exchange Commission (SEC)</a>, Paul Atkins, suggests a different view: most crypto assets shouldn't be classified as securities. In a <a href="https://www.sec.gov/newsroom/speeches-statements/atkins-keynote-address-inaugural-oecd-roundtable-global-financial-markets-091025" target="_blank" rel="noreferrer noopener">keynote address delivered at the OECD in Paris</a>, Atkins pledged to move away from what he termed "regulation by enforcement."
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    This declaration signifies a departure from the SEC's previous approach, which involved numerous legal challenges often perceived as inconsistent. Prominent platforms like <a href="https://www.cointribune.com/en/crypto-coinbase-wins-its-showdown-the-sec-drops-the-lawsuits/" target="_blank" rel="noreferrer noopener">Coinbase</a> and <a href="https://www.cointribune.com/en/ripple-and-sec-end-long-legal-battle-as-appeals-are-dropped/" target="_blank" rel="noreferrer noopener">Ripple</a> were among those impacted.
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<p>
    Atkins anticipates that this revised stance will facilitate the creation of <strong>a dependable and clearly defined regulatory environment</strong>. His message is directed towards both market participants and lawmakers.
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<h2>Toward a Universal Framework for Comprehensive Crypto Platforms</h2>

<p>
    The SEC is actively developing a broad regulatory overhaul known as <strong>"Project Crypto"</strong>. The intention is to consolidate the following activities under a single, cohesive framework:
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    <li>Digital asset trading</li>
    <li>Digital asset lending</li>
    <li>Digital asset staking</li>
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    The goal is to establish a singular set of guidelines that empowers crypto platforms to function as comprehensive super-apps akin to those common in Asia. This would enable them to provide all their services <strong>under one unified license</strong>. Enhanced regulations for diverse custody solutions would also be implemented, without hindering innovation.
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<p>
    Atkins expressed appreciation for European regulatory models, specifically referencing the MiCA framework as a more logical and structured approach compared to current U.S. regulations. He reiterated the SEC's commitment to investor protection, while advocating for <strong>a streamlined, "minimally effective" level of regulation</strong>. This aims to avoid unnecessary redundancy and bureaucratic processes that could disadvantage smaller, emerging projects in favor of larger, established companies.
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<p class="post-conclusion">
    Atkins' address paves the way for global collaboration and aligns with international regulatory trends. Whether this approach will resonate with other regulators and major <a href="https://www.cointribune.com/en/tag/banque-en-2/" target="_blank" rel="noreferrer noopener">banks</a>, who remain hesitant, remains to be observed.
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                <span class="title !text-primary-color font-bold text-2xl mx-2 align-middle wrote_by obfuscated-link" data-href="https://www.cointribune.com/en/author/arielarasoanjanahary/">Ariela R.</span>
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                <p class="text-gray-500 dark:!text-gray-200 !p-0 text-sm md:text-base wrote_by_description">My name is Ariela, and I am 31 years old. I have been working in the field of web writing for 7 years now. I only discovered trading and cryptocurrency a few years ago, but it is a universe that greatly interests me. The topics covered on the platform allow me to learn more. A singer in my spare time, I also cultivate a great passion for music and reading (and animals!)</p>
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The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.