SEC takes the initiative: regulator to present its own regime for tokens amid Congressional pause
While the U.S. Senate has gone on its August recess without considering the CLARITY Act bill, the Securities and Exchange Commission (SEC) has decided not to wait for lawmakers and to act on its own. On Friday, August 14, the agency will hold an open vote on the Regulation Crypto proposal — a new specialized regime for token offerings. This is the regulator's first such large-scale step in the crypto sphere under the leadership of Paul Atkins.
The meeting is scheduled for 10:00 a.m. Eastern Time at SEC headquarters in Washington and will be streamed online. The agenda features a single item from the Division of Corporation Finance. Commissioners are expected to approve the publication of the proposal, with the full text of the rules to be released on Friday. The essence of the initiative is to create a simplified procedure for raising funds through tokens, allowing issuers to bypass full securities registration by using preferential regimes.
Why the SEC is accelerating
The initiative grew out of Project Crypto — a regulatory package that Atkins placed on the SEC's agenda for 2026. Key elements include exempting certain token offerings from registration, "safe harbors" for decentralized projects, and custody standards for broker-dealers. Atkins has already made it clear: the agency is ready to work without looking back at Congress, although it considers passing legislation a priority.
"Legislation is the way to make the process sustainable in the future," he noted in a recent interview.
The reason for the rush is obvious. The CLARITY Act, which was supposed to distribute authority between the SEC and the CFTC, has been blocked by Democrats due to amendments concerning ethics and the crypto assets of former President Donald Trump. Republicans Josh Hawley and Jerry Moran also opposed the provisions on stablecoin yields, supporting the position of local banks. Majority Leader John Thune has promised to return to the bill in September, but passing it will require 60 votes, and without Democratic support, that is unlikely.
The CFTC acts in sync
The SEC is not alone in its drive to fill the legislative vacuum. CFTC Chairman Michael Seleg warned in July that if Congress does not pass legislation, regulators will write all the rules for the crypto industry. The two commissions are already working closely together — in March, they adopted a joint interpretive rule that removed most tokens from the scope of securities law and defined conditions for staking, mining, and airdrops.
However, Atkins emphasizes that such decisions are temporary. The next administration could overturn any rules if Congress does not codify them into law. This also applies to the March recommendations.
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 comment: This SEC move is a signal to the market that regulatory uncertainty is gradually becoming a thing of the past, even without the CLARITY Act. However, investors should remember: any rules adopted outside the law may be revised. Until Congress codifies them into legislation, we remain in a zone of temporary decisions, which adds risks to long-term strategies.