SEC Chair Pledges Advance Notice for Crypto Firms Before Enforcement Actions

The U.S. Securities and Exchange Commission (SEC) will now issue warnings to companies ahead of potential enforcement actions, Chair Paul Atkins revealed in a Financial Times interview. The MOVE marks a departure from the agency's previous "regulation-by-enforcement" approach, which Atkins criticized as unpredictable and lacking precedent.

"You can’t just suddenly come and bash down their door," Atkins said, emphasizing technical violations will no longer trigger immediate crackdowns. The shift signals a more measured stance toward crypto regulation, addressing industry complaints about abrupt enforcement actions.

The policy change comes as the SEC faces mounting scrutiny over its handling of digital asset oversight. Atkins acknowledged past criticisms, suggesting the agency's recent strategies alienated market participants through aggressive tactics.