SEC Aims to Catch Up in Crypto

The U.S. Securities and Exchange Commission (SEC) is looking to make up for lost time in the cryptocurrency space. Speaking at the University of Texas, SEC Chair Paul Atkins acknowledged that in previous years the regulator failed to fully seize the opportunities presented by the rapid growth of digital assets.

Atkins criticized the agency’s approach under the leadership of Gary Gensler. In his view, the SEC did not sufficiently adapt to emerging technologies and innovation. During that period, the regulator adopted a cautious—and often restrictive—stance toward the industry. Many digital assets were classified as securities, and numerous enforcement actions were launched against crypto firms, primarily over registration issues.

Now, the tone appears to be shifting. Since the start of Donald Trump’s administration, the SEC has moved toward a more market-friendly approach. A dedicated crypto task force has been established, several cases against major industry players have been withdrawn, and a new initiative—Project Crypto—has been launched to modernize regulatory frameworks.

Atkins emphasized that while individual cryptocurrencies may rise or fall in value, he sees the true long-term potential in distributed ledger technology. He pointed in particular to its possible applications in payment clearing and settlement systems.

This week, the SEC granted approval to WisdomTree for 24/7 trading and instant settlement of its WisdomTree Treasury Money Market Digital Fund. It marks the first approval of its kind in the United States. Atkins also indicated that following the approval of tokenized money market funds, the next step could be the introduction of tokenized bank deposits.