With the administration of ADB President Donald Trump, a major shift is taking place in cryptocurrencies.
While Trump’s establishment of a US national Bitcoin reserve is the most obvious example, significant changes are also taking place within established regulatory institutions, including the US Securities and Exchange Commission (SEC).
Accordingly, SEC Chairman Paul Atkins confirmed a major shift in cryptocurrency regulations, stating that very few tokens should be classified as securities.
Speaking at the Wyoming Blockchain Symposium in Jackson Hole, Paul Atkins made statements that contrasted sharply with the views of his predecessor, Gary Gensler.
Atkins’ statements represent a major shift from those of former SEC Chairman Gary Gensler, who said the vast majority of cryptocurrencies were securities under the SEC’s Howey test standard.
At this point, Paul Atkins said that the SEC’s “Crypto Project,” which aims to set rules for crypto assets, may affect the institution’s approach to cryptocurrencies in the future.
Atkins stated that the SEC will no longer automatically treat tokens as securities. Instead, the SEC will review all the details of the token offering and launch. Atkins stated that how a token is sold and the regulations surrounding it are more important than the token itself.
“We cannot necessarily treat all cryptocurrencies as securities.
The SEC will now proceed with the assumption that the crypto token itself is not a security. The SEC will no longer automatically consider tokens to be securities.
At this point, I think there are very few tokens that are securities. Because to me, how a token is sold and the regulations surrounding it are more important.”
*This is not investment advice.