SEC prepares to revamp how it deals with crypto in a move that could mark a significant shift for digital assets.
SEC Chairman Paul Atkins stated on Thursday that he has asked his staff to start drafting regulations which offer more tailored supervision for cryptocurrency markets.
This includes new definitions of when a digital asset should be considered a security as well as disclosure requirements, and exemptions that are specifically designed for digital assets.
The move has been hailed as a major victory for an industry which had spent many years in regulatory uncertainty.
Investors and crypto firms have been pushing for years for a set of rules that reflect the reality of trading on blockchains, instead forcing digital assets to fit into frameworks designed for traditional finance.
Washington might finally be willing to compromise with the SEC, if Washington’s initiative is anything to go by.
Crypto enters financial mainstream
The SEC’s move is part of an effort by the entire federal government to integrate crypto in traditional finance without turning a deaf ear to its risks.
In the last few years, SEC made headlines by pursuing scams such as pump and dumps.
Now, however, they are trying to stay ahead of things.
It’s not just about playing defense. Instead, the government is working on a regulatory playbook with a forward-looking outlook that sets expectations clearly before problems arise.
The early outlines of the new regulations suggest that they will cover a broad range: rules to register exchanges and their tokens, protections against price manipulation and fraud, enhanced investor protections and cybersecurity standards to suit blockchain technology.
This is a change in attitude and an indication that the SEC wishes to bring order out of chaos, without closing the door on innovative ideas.
The SEC’s not the only one. In 2025, other federal agencies have begun to take cryptocurrency more seriously.
The Federal Housing Finance Agency, in a bold move, has instructed Fannie Mae to get ready for a time when borrowers will be able to include crypto assets that are held by US-regulated exchanges as part of mortgage applications without having to sell these assets.
This is a clear sign that the US financial sector will be incorporating digital assets into its fabric.
Cryptography: A new turning point
The “Crypto Week”, as it’s called on Capitol Hill, has seen real progress in the space of digital assets. Major legislation such as the GENIUS Act is now signed into law.
After many years of gray areas and mixed signals in the regulatory framework, legislators are now moving towards a federally unified crypto-framework.
Goal: protect investors without killing innovation.
Both the White House and SEC have joined forces to push for not only an update of securities laws, but also for crypto platforms to handle custody as well as to create disclosure rules which reflect how digital assets function.
At its core, the goal is to lay down a regulatory foundation that’s clear and consistent–something the market’s been missing for years.
The goal is to give investors greater confidence, while allowing the industry room to grow in a responsible manner.
The SEC announced its latest initiative just days after a report by a group of working on digital assets and an executive order from 2025. Both called for Congress to act quickly, on issues ranging from capital market oversight to taxation.
Washington has been lagging behind for a while, but it finally appears to be catching up.
This article US SEC announces plans to regulate cryptocurrency: Here’s What You Need to Know may be updated as new information becomes available
This site is for entertainment only. Click here to read more
