U.S. Securities and Exchange Commission Chairman Paul Atkins said a major crypto rulemaking package known internally as “Reg Crypto” or “Regulation Crypto Assets” is now awaiting final White House review before it can be released for public comment. The statement signals that one of the most consequential crypto policy proposals in the current U.S. regulatory cycle may soon move into the formal rulemaking stage.
Atkins made the remarks during a fireside chat at the inaugural Digital Assets and Emerging Technology Policy Summit in Nashville, hosted by Vanderbilt University and the Blockchain Association. According to his comments, the proposal is currently under review by the White House Office of Information and Regulatory Affairs, or OIRA. Once that process is complete, the SEC is expected to publish the proposal and open it to public feedback.
A framework designed to redraw the line around securities
The proposal builds on a framework Atkins first outlined on March 17, 2026, when he discussed a token safe harbor approach at the DC Blockchain Summit. Based on those remarks and his latest comments, the SEC appears to be moving toward a more explicit interpretation of how federal securities laws should apply to crypto assets.
Under the framework described so far, most crypto assets would not be treated as securities. Atkins indicated that digital commodities, collectibles, utility tools, and payment stablecoins would generally fall outside the securities category. By contrast, tokenized versions of traditional securities would remain fully subject to existing securities laws. That distinction is central to the proposal’s policy logic: rather than treating the entire crypto market as a uniform category, the SEC would separate asset types based on their economic function and legal characteristics.
For assets that are sold as investment contracts under the Howey test, however, the proposal introduces a set of targeted safe harbors. These exemptions are designed to support fundraising and network development while still requiring public disclosures aimed at preserving investor protections.
Three safe harbors at the center of the proposal
The first exemption is aimed at early-stage projects. Under the startup safe harbor, a crypto project would be allowed to rely on a time-limited and non-exclusive registration exemption lasting for up to four years. During that period, the project could raise up to approximately $5 million while its network matures. To qualify, the issuer would need to make public, principles-based disclosures and file notices with the SEC.
The second exemption focuses on larger capital raises. This fundraising safe harbor would allow issuers to raise as much as approximately $75 million in any 12-month period for crypto asset investment contracts. Issuers using this route would be required to submit a disclosure document addressing their financial condition and other principles-based statements. Atkins also indicated that firms using this pathway could still rely on other existing registration exemptions where applicable.
The third exemption, described as an investment contract safe harbor, would offer a rule-based method for a crypto asset to move out of securities-law treatment. In practical terms, that means a token could cease being regulated as a security once the issuer has permanently ended the essential managerial efforts that were originally promised to investors. This provision appears aimed at one of the crypto sector’s long-running complaints: that a token may begin life in a fundraising context but eventually function as a decentralized network asset rather than a continuing investment contract.
Policy clarity and institutional reset
Atkins framed the proposal as part of a broader effort to bring regulatory clarity to digital assets and emerging technologies. His comments suggest that the SEC’s current leadership wants to move away from the uncertainty that has long characterized the industry’s relationship with federal securities regulators. The structure of the proposal reflects that goal: create clearer categories, provide pathways for lawful fundraising, and use disclosure-based conditions instead of relying solely on after-the-fact enforcement.
He also addressed the SEC’s decision to shut down its innovation hub, a move that drew attention because such offices are often presented as bridges between regulators and new industries. Atkins said the unit had developed such a negative reputation under former Chairman Gary Gensler that some industry participants feared they would visit the office and later find a subpoena waiting at home. The comment was both a criticism of the prior regulatory environment and a signal that the current SEC leadership wants to reset how the agency engages with the crypto sector.
Atkins went further in contrasting his approach with that of his predecessor. He said Gensler had left both the SEC and the Commodity Futures Trading Commission in need of repair, and noted that SEC staff had been more receptive to the new direction than he had originally expected. Those remarks underscore the political and institutional significance of the proposal: “Reg Crypto” is not just a technical rule package, but part of a wider attempt to redefine the SEC’s posture toward digital assets.
What comes next
For now, the full text of the proposal has not yet been released. That means market participants are still relying primarily on Atkins’ March 2026 token safe harbor speech and his latest Nashville comments as the most authoritative public descriptions of the rulemaking. Important legal details—including how the disclosures would be structured, how the exemptions would interact with existing securities rules, and how the SEC would determine whether managerial efforts have truly ceased—remain unknown until the formal proposal is published.
Still, the broad direction is already clear. If released in the form Atkins has described, the rule could mark a major shift in U.S. crypto regulation by drawing a more defined boundary between securities and non-securities, while also creating explicit fundraising channels for blockchain startups and token issuers. For early-stage builders, the proposed $5 million startup exemption could offer a practical path to launch and develop networks without immediate full registration. For larger issuers, the $75 million annual fundraising threshold could significantly expand access to compliant capital formation.
The next step is OIRA clearance. Once that review is complete, the SEC is expected to publish the proposed rule for public comment, opening the door for input from crypto companies, investors, legal experts, and the broader market. Given the scale of the proposed changes, the comment process is likely to attract close scrutiny. Whether the final rule ultimately resembles the framework Atkins has previewed, the proposal is already shaping up to be one of the most important regulatory developments for the U.S. digital asset industry.