“The SEC’s new approach. Since the change in the leadership of the Securities and Exchange Commission ( SEC ), its policies have become much more favorable to Bitcoin and cryptocurrencies. Indeed, Paul Atkins has been quick to implement a new regulatory approach designed to support this new asset class, rather than try to stifle it like his anti-crypto predecessor, Gary Gensler […]”, — write: businessua.com.ua
The SEC’s new approach. Since the change of leadership of the Securities and Exchange Commission ( SEC ) its policies have become much more favorable to Bitcoin and cryptocurrencies. Really, Paul Atkins quickly implemented a new regulatory approach designed for support of this new asset class rather than trying to suppress him like his predecessor in the fight against cryptocurrencies, Gary Gensler . This dynamic recently led to an important speech that outlined specific the circumstances under which the SEC intends to intervene in cryptocurrency sector.
Key points of this article:
- The Securities and Exchange Commission (SEC) under Paul Atkins has taken a much more crypto-friendly approach than the Gary Gensler era.
- Paul Atkins clarified that most cryptocurrencies such as BTC, ETH, and SOL are outside the jurisdiction of the SEC, with the exception of tokenized securities (such as tokenized stocks).
Paul Atkins outlines his “new regulatory approach” to innovation Paul Atkins the new head Securities and exchange commissions looks set to continue a radical change in policy about cryptocurrencies. This commitment was reaffirmed recently in a clarification speech goals of this new regulatory approach.
At the Philadelphia Regional Fed’s ninth annual Financial Technology Conference, the SEC chairman tried clarify the status of cryptocurrencies as securities . It’s already significantly different from his predecessor, Gary Gensler which Paul Atkins, seems to criticize in passing at X. Check out the passage he selected from Gensler’s speech:
“In a free society, the rules governing economic life must be known, justified, and properly limited. When we stretched the securities laws beyond their proper scope, when we treated every innovation as presumptively suspect, we departed from this fundamental principle. [І навпаки]when we recognize the limits of our authority, when we recognize that investment contracts can be terminated and that networks [блокчейну] can stand on their own merits, we respect that.”
Paul Atkins, chairman of the US Securities and Exchange Commission
X account @SECPaulSAtkins
So the question is: which cryptocurrencies/tokens should be considered securities ? That is, digital assets, the promise of future value which depends on management efforts of a third party .
For Paul Atkins, this definition is already does not include cryptocurrencies, ” associated with a functional and decentralized blockchain network ” such as BTC for Bitcoin ETH for Ethereum SOL for Solana etc. At the same time, Atkins too excludes digital collectible tokens such as NFT (irreplaceable tokens) and others digital tools i.e. digital assets that perform practical function such as a ticket, membership or badge.
Actually majority cryptocurrencies in circulation are not subject to the jurisdiction of the SEC ( which is the exact opposite of what the previous administration claimed ). However, Paul Atkins clarifies that tokenized securities – that is, presenting securities that are already regulated by the SEC (for example, shares companies) trading in the blockchain – will remain under the jurisdiction US regulator.
The new SEC chairman wants refocus your efforts to securities, and in this context cryptocurrencies seem to largely unharmed except in obvious cases such as tokenized shares which are simply securities digitized on blockchains ( RWA tokenization ). Paul Atkins argues that “although capital formation should continue to be controlled by the SEC, we should not limit innovation and investor choice “.
Source: journalducoin.com
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