Paul Atkins: Regulatory Uncertainty Is Crippling Crypto’s Potential

Regulatory gridlock continues to strangle crypto innovation—and Paul Atkins isn't mincing words.

The former SEC commissioner argues that unclear rules are keeping institutional money on the sidelines while retail investors navigate a regulatory minefield. Without clear frameworks, projects face compliance whiplash and legal gray zones that stifle growth.

Meanwhile, traditional finance keeps playing catch-up—issuing memos instead of embracing disruption. Because why adapt when you can just form another committee?

Until regulators move beyond talk and provide real clarity, crypto's trillion-dollar potential remains locked in bureaucratic purgatory.

Most Tokens Should Not Be Treated Like Stocks

Atkins took a direct stance and said most tokens should not be treated the same way as traditional securities. It is a big statement, especially from someone in his position. If that view holds, it could give crypto projects more breathing room to grow without worrying they might be hit with a lawsuit later.

BREAKING: SEC Chairman Paul Atkins declared that 'crypto's time has come,' signaling a significant shift in the regulatory tone towards digital assets.

Prepare for impact!

On September 12th, RealFi will execute a strategic $558,000 REAL Token Burn! This massive reduction… pic.twitter.com/MuvxJmE68a

— Skipper | XRPL (@skipper_xrp) September 10, 2025

The SEC’s New Plan: Project Crypto

To MOVE things forward, Atkins outlined something called Project Crypto. This plan aims to update securities rules so they actually work in an on-chain environment. Instead of splitting up rules for trading, lending, and staking, the goal is to bring them all under one simple license. The whole idea is to make compliance easier without losing sight of consumer protection.

A Different Tone From the Previous SEC

Atkins also took a moment to call out the way things were done before. He said past enforcement was too aggressive and sent developers and investors running to other countries. Instead of leading with threats, his approach is more focused on setting expectations early and letting projects stay in the US without constantly looking over their shoulder.

The Rise of All-in-One Crypto Platforms

Another idea he shared was the emergence of what he called “super apps.” These WOULD let users trade, lend, stake, and maybe even access other financial tools all from one place. Right now, different parts of crypto are regulated in different ways. Atkins thinks there should be a path for these all-in-one platforms to operate under one rulebook instead of navigating several.

Working Together With Other Regulators

To make all of this happen, the SEC will be teaming up with other regulators, especially the CFTC. A joint roundtable is in the works, focusing on areas like DeFi, tokenized assets, and new blockchain-based products. The aim is to build a shared understanding across agencies so that everyone is on the same page. Atkins made it clear that this is not just about the SEC acting alone.

Looking Ahead

Atkins laid out a pretty ambitious vision. He wants the United States to lead the next wave of digital finance, but that will depend on whether regulators can deliver real clarity fast enough. The road ahead involves legal work, collaboration, and a willingness to rethink how financial oversight works in the age of blockchain. If this plan stays on track, it could change how crypto gets built and backed in the US.

Key Takeaways

• SEC Chair Paul Atkins called for clearer blockchain fundraising rules, saying uncertainty is stopping crypto projects from growing in the US.
• Atkins said most tokens should not be treated like stocks, signaling support for a more crypto-specific approach to regulation.
• He introduced Project Crypto, a plan to simplify how trading, lending, and staking are regulated through a unified license model.
• Atkins criticized past enforcement as too aggressive and wants US crypto projects to succeed without fearing surprise legal action.
• The SEC plans to work with other regulators, including the CFTC, to build shared rules for DeFi, tokenized assets, and all-in-one crypto apps.