SEC Launches “Project Crypto” to Modernize U.S. Digital Asset Regulations

U.S. Securities and Exchange Commission (SEC) Chairman Paul Atkins announced the launch of “Project Crypto,” a sweeping initiative to overhaul securities rules for digital assets and accelerate America’s move on-chain. The program follows recommendations from President Donald Trump’s newly issued Working Group report and aims to create clear, innovation-friendly crypto policies.

Speaking at the America First Policy Institute, Atkins said the SEC will draft straightforward rules covering crypto asset distributions, custody, and trading. While final regulations are in development, the commission will use exemptions and interpretive guidance to prevent outdated rules from stifling innovation.

In a sharp departure from former Chair Gary Gensler’s stance, Atkins declared that most crypto assets should not be classified as securities, calling for clarity around the Howey Test to end market uncertainty. For tokens deemed securities, Atkins pledged tailored disclosures, safe harbors, and exemptions for activities like ICOs, airdrops, and staking rewards.

The initiative supports Trump’s vision of a “golden age” for U.S. digital assets, seeking to reshore businesses affected by past enforcement-driven policies. Atkins also emphasized the right to self-custody and endorsed the creation of crypto “super-apps” — unified platforms offering trading, lending, staking, and other services under one license.

Project Crypto arrives as Congress debates broader regulatory reforms that could expand the Commodity Futures Trading Commission’s role in overseeing digital assets. Atkins highlighted the need to protect software developers and establish rational rules distinguishing intermediated from disintermediated activity, referencing ongoing debates around privacy tools like Tornado Cash.

This initiative marks a major shift in U.S. crypto policy, signaling a more open regulatory approach designed to foster growth, attract global innovators, and reinforce America’s leadership in digital finance.