Nikolas Sargeant
SEC Chair Paul Atkins has outlined a "safe harbor proposal" that would carve out regulatory exemptions for crypto companies and certain tokens, giving them clearer and more accessible pathways to raise capital in the United States.
Speaking at a crypto lobby event in Washington, DC on Tuesday, Atkins described a three-part framework: a startup exemption, a fundraising exemption, and an investment contract safe harbor. The startup exemption would allow early-stage crypto companies to raise a defined amount of capital or operate for a limited period with sufficient regulatory breathing room to reach maturity. The fundraising exemption would permit investment contracts involving crypto to raise up to a set amount within any 12-month window without triggering securities registration requirements. The investment contract safe harbor, meanwhile, would give issuers and buyers clearer guidance on when a crypto asset is subject to securities law — with the carveout potentially applying once an issuer has permanently stepped back from active managerial involvement in the asset.
Atkins said the SEC expects to release proposed rules for public comment in the coming weeks, though he acknowledged that durable, long-term regulation ultimately requires congressional action. A Senate bill defining the SEC's crypto jurisdiction remains stalled amid ongoing negotiations.
The remarks came on the same day the SEC and the Commodity Futures Trading Commission jointly issued an interpretation clarifying which cryptocurrencies qualify as securities and how non-security crypto assets interact with existing securities laws, a signal that the agency is moving to provide more concrete regulatory guidance across the board.
