SEC Chairman Paul S. Atkins: Promoting Regulatory Reform for the Encryption Asset Market

At the tokenization roundtable, Paul S. Atkins delivered a keynote speech on the trend of migrating securities from traditional databases to blockchain systems. He likened this transition to the evolution of audio from vinyl records to digital formats, emphasizing the potential impact of blockchain technology on the securities market.

Atkins pointed out that on-chain securities could fundamentally change the way securities are issued, traded, and used. For example, smart contracts can enable automated dividend distribution, and tokenization can enhance asset liquidity. He believes that to make the United States a global encryption center, the SEC must adapt to innovation and consider regulatory reform.

As the chairman of the SEC, Atkins's main task is to develop a reasonable regulatory framework for the encryption asset market while combating illegal activities. He emphasized that the SEC will no longer rely on temporary enforcement but will establish practical standards. To this end, the SEC has formed a special task force on cryptocurrencies to coordinate efforts across departments.

Atkins focuses on three areas: issuance, custody, and trading. In terms of issuance, he calls for clear guidelines for the issuance of encryption assets and considers adjusting existing registration requirements. Regarding custody, he supports giving registrants more autonomy and proposes updating custody rules to fit the characteristics of the encryption asset market. In trading, he advocates for allowing registrants to offer a wider variety of products and services, including mixed trading of securities and non-securities.

Atkins stated that the SEC will explore the possibility of providing conditional exemptions for innovative products and services. He emphasized that the SEC's goal is to make the United States the best market for encryption assets globally.