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Regulations & PoliciesGovernment Policies

SEC Chair Paul Atkins: Only a small number of cryptocurrencies qualify as securities

rahulbadiyafad150c105
Last updated: August 21, 2025 12:42 pm
rahulbadiyafad150c105
Published: 5 months ago
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SEC Chairman Paul Atkins recently stated that only a limited number of cryptocurrencies fall under the category of securities.

Speaking at the Wyoming Blockchain Symposium 2025, Atkins explained that the majority of tokens should not be considered securities. He emphasized that the classification depends largely on how a cryptocurrency is “packaged and sold,” rather than on its intrinsic features.

“Just the token itself is not necessarily a security, and probably not,” he said, “There are very few, in my view, tokens that are securities, but it depends on what’s the package around it and how that’s being sold.”

Atkins’ comments mark a notable departure from the position of former SEC Chair Gary Gensler, who treated most crypto assets as securities under U.S. law. Gensler’s hardline stance triggered extensive enforcement actions and fostered a tense regulatory climate for the industry.

Since taking office in April, Atkins has repeatedly emphasized the need for clear and fair rules, signaling a more open and constructive approach to oversight. His latest remarks align with recent positive regulatory developments, including the launch of “Project Crypto,” a new initiative designed to support the industry.

What is Project Crypto?

In July, Atkins unveiled the SEC’s “Project Crypto,” an initiative designed to establish clearer rules around token distributions, custody, and trading. The project seeks to give businesses more certainty in navigating offerings and day-to-day operations.

Although final regulations are still in progress, Atkins noted that the SEC may rely on interpretative guidance, exemptions, and other tools to prevent outdated rules from hindering innovation.

These efforts come alongside the Trump administration’s broader push to preserve U.S. leadership in the global digital asset market. A separate Working Group on Digital Assets has also urged the creation of a unified framework to encourage innovation. Meanwhile, the U.S. House recently approved three landmark pieces of crypto legislation, including the GENIUS Act—the country’s first official federal framework for stablecoins.

Atkins further stressed that the SEC’s role is not only to provide clarity but also to shield the industry from potential risks such as regulatory overreach and inconsistent enforcement, underscoring the importance of rules that remain clear, flexible, and innovation-friendly over the long term.

“We must craft a framework that future proofs the crypto markets against regulatory mischief. I look forward to working with my counterparts across the Administration and Congress to get the job done,”

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TAGGED:AltcoinBlockchaincryptocurrenciesPaul AtkinsRegulationSEC

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