When crypto markets threw themselves on Friday, a potential historically regulatory shift flew under the radar, Wall Street broker Bernstein said in a research report on Monday.
In a speech that Bernstein analysts called “the boldest and most transformative crypto vision ever posted by a sitting SEC chairman,” is the US securities and exchange commission (SEC) President Paul Atkins revealed “Project Crypto”, a sweeping initiative to modernize the country’s outdated securely securities.
The initiative aims to review US securities laws to meet digital assets and continues a broader push to make the United States a global hub for crypto innovation.
Bernstein, central to the plan, is to “reshoring,” Bernstein noted and brought cryptic companies back to the United States after years of regulatory uncertainty pushed them offshore.
The Commission intends to use its interpretive and exceptional powers to modernize outdated rules and ensure that they do not suffocate entrepreneurship or competition, the report said.
In a sharp reversal from previous SEC messages, Atkins said most crypto assets are not securities.
He accused confusion about the Howy test of stopping capital formation and promised to introduce clearer standards for categorization of digital assets, including raw materials, stablecoins, collectibles and safety-like tokens with management and distribution rights.
Bernstein said the plan also lays the basis for the domestic tokenization of traditional assets such as shares and bonds.
With Wall Street giants and tech corners that have already been set up, SEC wants to build the world’s largest tokenized securities market, on American soil, the report added.
Read more: Crypto goes mainstream and ‘you can’t put genie back in the bottle,’ Bitvis Says
