Paul Atkins was appointed as the chair of the U.S. SEC in May 2025 and advocates for creating a more supportive regulatory environment for cryptocurrencies.
New SEC Regulatory Approach
Under Paul Atkins' leadership, the SEC is striving for a more market-friendly approach to digital asset regulation. Atkins introduced a new regulatory framework for crypto assets focused on guidelines for issuance, custody, and trading. He highlighted the need to avoid policymaking siloes and introduced a Crypto Task Force to coordinate agency responses. "The SEC’s goal is to develop a rational regulatory framework for crypto asset markets... while maintaining investor protections against fraud and manipulation." - **Paul Atkins**.
Potential for Corporate Participation
Atkins' approach signifies a shift away from strict enforcement, which may reduce uncertainties for crypto markets. This is expected to encourage institutional participation in the U.S. The impact of this new direction may positively influence DeFi markets and Layer 1s like **ETH**, as regulatory clarity enhances investment and innovation within the country.
Comparison with Previous Periods
Similar transitions have occurred under past presidents Obama and Trump, triggering various reactions in crypto markets. Atkins' leadership mirrors these past shifts aimed at promoting supportive regulatory changes that stimulate capital formation and innovation. Experts suggest that Atkins' strategy, emphasizing market structure and registration over enforcement, may open new opportunities for activity in U.S.-centric crypto markets.
Under Paul Atkins, the SEC may shift towards a more supportive approach to cryptocurrency regulation, creating a more conducive environment for innovation and investor protection.
