SEC ready to take the initiative: vote on new Regulation Crypto regime announced
While the US Congress has gone on summer recess without passing the long-awaited CLARITY Act bill, regulators have decided not to sit idly by. This Friday, August 14, the US Securities and Exchange Commission (SEC) will hold an open vote on the Regulation Crypto proposal — a special regime for token offerings. This will be the agency's first major step under Paul Atkins to create its own regulatory framework for the cryptocurrency industry.
The essence of the new initiative
According to the official agenda, the meeting will begin at 10:00 AM Eastern Time at SEC headquarters in Washington with a live webcast. The commissioners will consider a proposal that introduces a separate legal procedure for raising funds through tokens. Participants will be able to use simplified schemes — so-called "permissive regimes" — that will spare them from the full and burdensome securities registration process.
This initiative grew out of Project Crypto — a regulatory package that Atkins placed on the SEC's agenda for 2026. Key points include exempting certain token offerings from registration, creating "safe harbors" for decentralized projects, and establishing custody standards for broker-dealers.
Why the regulator is acting on its own
The reason for this urgency is obvious: the Senate went on recess without considering the CLARITY Act, which was supposed to divide authority between the SEC and the Commodity Futures Trading Commission (CFTC). Democrats blocked the bill due to amendments concerning ethics and the crypto assets of former President Donald Trump, while Republicans Josh Hawley and Jerry Moran opposed the provisions on stablecoin yields.
Senate Majority Leader John Thune has promised to consider the bill first thing after lawmakers return in September. However, 60 votes will be required for passage, and a "cloture" strategy to cut off debate is currently impossible without Democratic support. The chances of passage this year, according to analysts including researchers at Grayscale, remain low.
The CFTC is acting in the same vein
The SEC is not alone in its drive to fill the legislative vacuum. CFTC Chairman Michael Selig has already made it clear that if Congress does not pass a law, regulators will write all the rules for the crypto industry. The two commissions are working closely together: in March, they adopted a joint interpretive rule that removed most tokens from the scope of securities law and clearly defined conditions for staking, mining, and airdrops.
Friday's vote will open a public comment period but will not lead to a final decision. The exemption thresholds and eligibility criteria in the proposal will show how far the SEC is willing to go without Congress. In September, when the Senate returns to work, it will become clear whether lawmakers are ready to reclaim the initiative.
My analysis: This is a landmark moment. The SEC under Atkins is clearly choosing a pragmatic path, understanding that regulatory clarity matters more than political games. However, creating rules through administrative means is a double-edged sword: the next administration could overturn them with a stroke of a pen. The industry needs a law, not temporary crutches, otherwise we risk another cycle of uncertainty in 2027.