Overview
- Chair Paul Atkins outlined Project Crypto’s preliminary schema: Digital Commodities or Network Tokens, Digital Collectibles, Digital Tools, and Tokenized Securities.
- He reaffirmed that the Howey test governs investment contracts and said tokens tied to fading issuer efforts can cease to be securities, with most tokens trading today not securities in his view.
- Assets that represent equity, debt, or similar financial instruments will be treated as tokenized securities subject to federal securities laws.
- The SEC signaled work on tailored exemptions, a potential “Regulation Crypto,” and coordination with the CFTC and banking regulators, alongside support for congressional market‑structure legislation.
- Enforcement against fraud and market manipulation will continue under Project Crypto, with the non‑binding remarks foreshadowing proposals yet to be formally adopted.