When crypto first came on the scene, global regulators were caught like a deer in the headlights, confused and unsure of how to manage digital assets. The rules were effectively drawn from laws enacted before the internet became a dream, and the Howey Test on securities, a cornerstone in the US, provided a confusing path to regulation.
The Biden Administration, which the first Trump Administration struggled (but tried) to adapt to, has taken a more damaging approach by demonizing all cryptocurrencies, toying with innovators, telling them to come and discuss, requiring them to register (which they failed to do), and presenting the SEC as a dystopian regulatory debacle that can only be described as incompetent.
Today, things are different in Trump’s Chapter 2: The SEC is facing an uphill battle but embracing the project and understanding that digital assets are the future. While Congress has failed to pass legislation to ensure regulatory consistency, the CLARITY Act (cryptomarket infrastructure legislation), the SEC is pushing forward, holding public hearings, soliciting feedback, and providing guidance in what will ultimately emerge as the most significant change in securities law since Act 33. It will also provide guidance to the rest of the world.
SEC this week Guidance on crypto assets has been published.
“After more than a decade of uncertainty, this commentary will provide market participants with a clear understanding of how the Commission treats crypto assets,” the SEC Chairman said. Paul S. Atkins.
Addressing DC Blockchain SummitAtkins said:SEC’s persistent failure to provide clarity”, they apply a token taxonomy and investment contract interpretation.
The President announced that they created four asset categories. Negative Those considered securities: Digital commodities, digital collectibles, digital instruments and payment stablecoins under the GENIUS Act.
“We are not Securities and Everything CommissionAtkins emphasized that their mission is to regulate securities.
While Congress remains undecided, Atkins said it will require legislation to ensure that digital assets are not affected by another rogue regime in the future.
“I strongly support ongoing bipartisan efforts on Capitol Hill to create a resilient framework for these markets.”
President Atkin’s vision on “Regulation of Crypto Assets” was shared as follows:
- A fit-for-purpose “initial exemption” that would be a time-limited registration exemption for offers of investment contracts involving certain crypto assets.
- The Commission may consider a new offering exemption, the “fundraising exemption,” for investment contracts involving certain crypto assets. Entrepreneurs can collect donations up to a certain amount while making a statement based on principles.
- The Commission will change the definition of “security” for certain crypto assets from what they consider to be an “investment contract safe harbor.” This safe harbor may apply when the issuer completes or permanently discontinues all significant management efforts that it represents or undertakes under the investment agreement.
While many questions remain about cryptoassets that can have different characteristics, Chairman Atkins stated today on CNBC that issuers and lawyers will present several examples to help them pursue offerings with certainty.
A digital asset sandbox is also next in line.
Atkins tips his hat to the Commissioner Hester Peircepioneer in advocating for clarity in digital assets and leader of the SEC Crypto Task Force. “Without your efforts, we wouldn’t be here today,” Atkins said. Peirce proposed a safe haven for crypto years ago.
Our commentary, based on existing laws regarding crypto assets and informed by extensive public input, recognizes what the former administration refused to recognize…
Most crypto assets are not securities themselves.pic.twitter.com/fbHan0vmmb
— Paul Atkins (@SECPaulSAtkins) March 17, 2026
The commission’s proposal will be made public soon and comments will be sought from interested parties.
While the road to digital asset regulation is long and extremely difficult, there is light at the end of the tunnel. Crypto innovation is growing in the United States, and as the Administration desires, the United States is on track to lead the world in the future of finance.
