At the SEC’s Crypto Task Force roundtable on June 9, Chairman Paul Atkins signaled a shift. He addressed the crowd with clarity and direction. He emphasized that self-custody of digital assets aligns with a long-standing American principle, ownership of private property.
Atkins argued that digital assets should be given the same respect. He emphasized that users should not lose control over their property while operating in the online world. Atkins supported giving market participants more room to hold their cryptocurrencies directly.
He warned that excessive reliance on intermediaries adds costs and hinders important blockchain activities, such as staking. The event marked a key moment for the SEC. With Atkins now leading, the agency’s tone on crypto has changed.
Atkins Criticizes past SEC approach
The Trump administration left and Gensler took the reins; space for a new approach was created. The SEC is not as aggressive as it was in the past. It has retreated from enforcement and welcomed conversation.
Atkins was not shy. He pointed out previous approaches that had treated developers only as financial intermediaries. That, he argued, was harmful because it slowed down progress and prevented true innovation from being unlocked. He urged the agency to evolve alongside the pace of digital transformation.
He noted that the legacy rules simply do not fit the new system. The roundtable consummated a series of five other discussions conducted by the crypto task force. These addressed vital themes in the industry, including custody and trading.
Balancing innovation and Regulation
The final session of the conference focused on decentralized finance but also highlighted the agency’s new tone. Atkins sees promise in cryptosystems, and he wishes to guide them legally but not in a way that stifles their growth. Atkins sees in the future instruments that could make the current financial model better.
He warned of the dangers of fear and excessive regulation. He encouraged the Commission to rethink its position. Atkins concluded with an urging statement. He requested that the SEC staff consider exploring existing guidance or rules anew.
He intends to assist businesses to comply with legal requirements while asserting their rights through blockchain technologies. The cryptocurrency ecosystem can thus possibly gain more space to develop with reduced barriers and increased clarity. The SEC’s door appears more open than ever.
