NewsCryptoSEC proposal aims to give crypto firms clearer path to raise capital in U.S.

SEC proposal aims to give crypto firms clearer path to raise capital in U.S.

Author: Fox Business Markets·

Key Takeaways

  • The SEC has proposed a regulatory framework intended to give crypto companies a clearer path to raise capital within the United States.
  • Chairman Paul Atkins called the proposal the agency's most historic step toward making the U.S. the 'crypto capital' of the world.
  • The proposal is moving ahead alongside Congress's consideration of the CLARITY Act, a market-structure bill that would clarify SEC versus CFTC oversight of digital assets.
  • Atkins framed the plan as an effort to reverse the offshore migration of crypto innovators that resulted from prior regulatory uncertainty and enforcement-led policy.
  • The framework's next milestones are the SEC's public comment period and the CLARITY Act's progress in Congress.
SEC proposal aims to give crypto firms clearer path to raise capital in U.S.

The Securities and Exchange Commission (SEC) is moving to give crypto companies a clearer path to raise capital in the United States as the agency seeks to bring crypto-asset investment and innovation back onshore while keeping activity under U.S. law.

SEC Chairman Paul Atkins joined FOX Business' Cheryl Casone on " Mornings with Maria " to discuss the agency's new crypto proposal, its exemptions and the broader push to make the U.S. the "crypto capital" of the world.

"Our regulation crypto assets that we're calling it, that we've proposed is our most historic step yet to try to bring reality to the president's call to make the United States the crypto capital world," Atkins said.

The proposal comes as Congress considers the CLARITY Act, which Atkins said he hopes will ultimately reach the president's desk. The SEC is moving ahead with its own proposal and seeking public comment as it develops a regulatory framework alongside Congress' work on the legislation. The CLARITY Act is a market-structure bill that would clarify how digital assets are divided between SEC and Commodity Futures Trading Commission oversight, one of the industry's long-running jurisdictional questions.

Atkins framed the proposal as an effort to reverse an exodus of crypto innovators and give companies more reason to develop products and raise money in the United States. That offshore shift followed years in which many crypto projects cited regulatory uncertainty and enforcement-led policy under prior SEC leadership as reasons to incorporate or operate abroad.

"I think this is an important step to try to reassure, to bring back on to the United States shore, innovators whom we have over the past administration's four year term, chased offshore, frankly, for them to develop their products and raise money abroad," he said.

He also argued that keeping investment opportunities in the U.S. matters because Americans can already move capital across borders online.

"We can't fool ourselves. American investors in the age of the internet can send their money anywhere. So we need to make sure that they can do it here in the United States under United States law," Atkins said.

The next milestones for the framework are the public comment period on the SEC proposal and the CLARITY Act's progress in Congress, both of which will shape when and how crypto firms can use the new capital-raising path.