In a sharp departure from previous leadership, newly installed U.S. Securities and Exchange Commission (SEC) Chairman Paul Atkins called Friday for clear, structured regulation of the cryptocurrency industry—warning that continued ambiguity risks throttling innovation.
Speaking at the SEC’s crypto roundtable—his first major address since taking office earlier this week—Atkins criticized the agency’s historic approach, accusing it of creating a climate of “regulatory uncertainty” that has hindered growth in the digital asset sector.
“Market participants working with this technology deserve clear regulatory rules of the road,” Atkins said, pledging a more deliberate and collaborative approach to oversight.
A Break from the Gensler Era
Atkins’ comments signal a decisive pivot from the strategy of his predecessor, Gary Gensler, who prioritized aggressive enforcement across the crypto sector, often citing widespread noncompliance with securities laws.
In contrast, Atkins—who has previously advised cryptocurrency firms—has indicated he intends to take a more measured, industry-sensitive approach. Even before his swearing-in, the SEC had begun quietly easing back, shelving or dropping several crypto-related enforcement cases.
Now, under a Republican-led commission, the agency is reopening the debate on how securities laws apply to digital assets, a long-simmering issue that has placed regulators at odds with the crypto community.
Tough on Compliance, Open to Innovation
Yet Atkins made it clear that easing up on crypto does not signal a general retreat from enforcement. Asked about potential action against Chinese firms amid intensifying U.S.-China tensions, Atkins stressed that the SEC will continue to act decisively against any company that fails to comply with American securities laws.
The new chairman’s dual-track strategy—supporting innovation in emerging sectors while maintaining strict standards elsewhere—marks an effort to recalibrate the SEC’s priorities without sacrificing investor protection.
The coming months will reveal whether Atkins’ balancing act can satisfy both an industry eager for breathing room and lawmakers demanding accountability.
