Paul Atkins Outlines New Direction for Crypto Oversight

U.S. Securities and Exchange Commission Chair Paul S. Atkins is moving quickly to reshape crypto oversight. Speaking in Washington, D.C. on June 3, Atkins told the Senate Appropriations Subcommittee that the SEC will build a clear set of rules for crypto markets to protect investors and encourage responsible innovation.

Good to know

• SEC’s new Crypto Task Force has already held four policy roundtables.
• The fifth session will focus on DeFi’s role in global markets.
• Future rules will follow formal rulemaking, not enforcement-based action.

Atkins made his intentions clear during his testimony: cleaning up crypto regulation is a top priority under his leadership. He pointed out the risks created by unclear or incomplete policies. “That lack of regulatory framework also invites fraud,” he said.

He also announced that Commissioner Hester Peirce is now leading the SEC’s Crypto Task Force. The group has already hosted discussions on key areas like custody, security classifications, trading standards, and tokenization. The next roundtable will center on decentralized finance, which Atkins said plays an expanding role in the global financial system.

Atkins also acknowledged the leadership of Peirce, describing her as “a principled and tireless advocate for common-sense policy.” He emphasized that the SEC must find a balance—allowing innovation while still enforcing market standards.

One of the biggest shifts under Atkins is the approach to policymaking. Rather than relying on enforcement actions, the SEC will return to a rulemaking process that allows public input. He stated clearly, “Policymaking will be done through notice and comment rulemaking, not through regulation-by-enforcement.”

He wrapped up by pointing to Congress’s original vision for the SEC—an agency that enforces clearly established rules, particularly those that guard against fraud and manipulation. That, Atkins explained, will be the Commission’s focus going forward.