U.S. Securities and Exchange Commission (SEC) Chair Paul Atkins said on Tuesday, August 19, 2025, that only a small percentage of crypto tokens should be considered securities, marking a sharp departure from the agency’s previous position.
Speaking at the Wyoming Blockchain Symposium, Atkins explained:
“From the SEC’s perspective, we will plow forward on this idea that just the token itself is not necessarily a security. Very few, in my mind, tokens are securities — but it depends on the package around it and how it’s being sold.”
This stance contrasts with former SEC Chair Gary Gensler, who repeatedly argued that the “vast majority” of crypto assets fell under securities law via the Howey test. Gensler resigned in January 2025, with Mark Uyeda serving as Acting Chair before Atkins’ appointment.
📜 Legislative Backdrop
Atkins’ comments come as Congress works to set clearer digital asset rules. In July, the House passed the Digital Asset Market Clarity (CLARITY) Act, which establishes a regulatory framework for U.S. crypto markets.
Senate Banking Committee Chair Tim Scott recently noted that as many as 18 Democrats could join Republicans in supporting the bill when the Senate reconvenes on September 2, 2025, suggesting broad bipartisan momentum.
⚖️ Project Crypto Initiative
Atkins also referenced the SEC’s Project Crypto, which aims to craft guidelines for blockchain-based trading platforms while balancing investor protection with innovation.
The new approach indicates a friendlier regulatory climate for crypto, giving businesses and investors greater clarity as the U.S. market continues to evolve.
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