The US Securities and Exchange Commission (SEC) has launched “Project Crypto,” a initiative to modernize securities regulations and allow for crypto-based trading. The announcement comes amid growing interest in tokenization, the process of issuing digital representations on a blockchain network.
SEC Chair Paul Atkins emphasized the need to prevent companies from being driven offshore by burdensome regulations. He said the SEC must consider the potential benefits and risks of moving markets from an off-chain environment to an on-chain one, using blockchain technology.
Atkins has directed the Commission staff to update antiquated agency rules and regulations to unleash the potential of on-chain software systems in securities markets. This would enable markets to function without intermediaries, where necessary.
The SEC proposal is part of a broader effort to boost US dominance in digital asset markets. The President’s Working Group on Digital Asset Markets released a report with recommendations for the SEC and other federal agencies to build a framework for this purpose.
Super apps, such as those used in China, are also a priority for Atkins, who wants to allow these apps to thrive with an efficient licensing structure. This would enable innovative companies to operate without being constrained by red tape and one-size-fits-all rules.
Source: https://www.cnbc.com/2025/07/31/sec-debuts-project-crypto-to-bring-us-financial-markets-on-chain.html