• SEC to roll out clearer rules for crypto asset issuance and trading.
• Paul Atkins proposes updates for digital asset custodial services and broker-dealer rules.
• U.S. poised to lead in crypto asset markets with new regulatory framework.

SEC Chair Paul Atkins has outlined plans to make the United States the crypto capital of the world. At the SEC’s crypto roundtable, Atkins explained his vision to create a clear and transparent regulatory framework. This approach marks a shift from the SEC’s previous stance and promises clear rules for digital asset issuance, custody, and trading.

Atkin’s SEC Favours Digital Asset Issuance and Custody

Atkins stated that under his leadership, the SEC would give clear guidelines on the issuance of digital assets. He admitted that most crypto asset issuers have found it difficult to adhere to current regulations. The SEC plans to present more appropriate frameworks for token offerings in order to make the compliance process easier and enhance innovation in the digital asset space.

Furthermore, the SEC’s new approach will address custodial services that have been a matter of contention in the industry. Atkins intends to revise the rules of who qualifies as a “qualified custodian” to match the crypto market needs. He further hinted at possible changes to the special-purpose broker-dealer framework to enable flexibility for digital asset custody.

Atkins also disclosed that the SEC would step up its supervision of cryptocurrency trading platforms. He proposed that registered broker-dealers with alternative trading systems (ATS) could deal in securities as well as non-securities like Bitcoin and Ether. This would create a more competitive environment and cater for increased demand for digital assets.

Atkin’s Roadmap to U.S as a Global Crypto Hub

SEC’s new regulatory approach comes after years of predatory enforcement policies, which have pushed many crypto companies to shift operations overseas. Atkins, however, reiterated the SEC’s commitment to promote developments in blockchain and tokenization. He emphasized the need for friendly regulations to promote innovation in the U.S. market.

Atkins also noted the emergence of on-chain securities that could reshape the securities market. He likened this to the development of the music industry from analog to digital, which presented new opportunities to the creators. Atkins believes on-chain securities could open new opportunities to trade, own, and use securities, which could provide more liquidity and efficiency in the financial markets.

Atkins also pointed out the importance of cooperation between the SEC, the Congress, and other governmental bodies. He noted that a collaborative effort could create a regulatory environment that promotes innovation and protects investors. With clear and comprehensive guidelines, Atkins intends to create an environment where the U.S. can lead the world in crypto asset markets.

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