SEC Launches "Project Crypto" to Modernize Digital Asset Regulation

In a significant policy shift, the U.S. Securities and Exchange Commission (SEC) has launched "Project Crypto," a new initiative aimed at modernizing its approach to digital assets. SEC Chair Paul Atkins announced the plan, which seeks to provide much-needed clarity and create innovation-friendly frameworks for the crypto industry.

This initiative marks a major change in direction, moving away from a strategy of litigation toward one of integration. Key components of "Project Crypto" include:

• A proposal for a unified licensing system for brokerages that handle securities, commodities, and digital assets.
• Clear definitions that distinguish between crypto securities and commodities.
• Regulatory exemptions for new projects, ICOs, and decentralized protocols.
• Protection for the right of individuals to hold their own crypto, also known as self-custody.

According to Atkins, the goal is to update outdated regulations to better fit the modern, on-chain market. This new approach is expected to encourage greater capital investment in the crypto space, particularly in promising altcoins. The initiative signals that the SEC now views crypto as an essential part of the future financial system rather than a threat.

August 2025, Cryptoniteuae