Overview
- Atkins identified a conditional, time-limited “innovation exemption” as his top priority and said he aims to release it near the end of January 2026.
- The SEC is developing a digital-asset taxonomy and updating trading and custody rules to accommodate tokenized securities and other token-based products.
- Coordination with the CFTC and ongoing congressional talks, including the CLARITY Act and the Responsible Financial Innovation Act, will shape the final framework, with progress described as slow.
- Recent groundwork includes Project Crypto, permission for in-kind creation and redemption of crypto ETPs, a Division of Investment Management no-action letter on custody, and generic listing standards for crypto ETFs.
- Industry pushback has emerged, with Citadel Securities warning that easing rules for on-chain equities trading could fragment U.S. markets.