U.S. Securities and Exchange Commission chair Paul Atkins urged the agency to consider a “safe harbor” framework that would carve out tailored regulatory pathways for certain crypto companies and tokens. Speaking at a crypto lobby event in Washington, D.C., Atkins outlined a proposal made up of three elements: a startup exemption, a fundraising exemption, and an investment contract safe harbor.
Atkins said the startup exemption would let crypto firms raise a defined amount of capital or operate for a limited period with sufficient regulatory runway to reach maturity. The fundraising exemption would allow investment-contract-style crypto offerings to raise up to a specified amount in any 12‑month period without registering under securities laws. The investment contract safe harbor would provide clarity about when crypto assets fall under securities rules, potentially applying once an issuer has “permanently ceased all essential managerial efforts” tied to the asset.
Atkins argued the safe harbor would give innovators bespoke pathways to raise capital in the U.S. while offering appropriate investor protections. He added that the SEC expects to release proposed rules for public comment in the coming weeks. At the same time, he said comprehensive, future‑proof regulation ultimately requires congressional action; a bill to define the SEC’s crypto remit remains stalled in the Senate.
Separately, the SEC and the Commodity Futures Trading Commission issued an interpretation clarifying which crypto assets are securities and how non‑security crypto assets can still implicate securities laws.