Paul Atkins

Chair

DeFi

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<p>SEC Chair Paul Atkins and CFTC Acting Chair Caroline Pham announced a joint crypto regulation harmonization initiative on September 5, 2025, focusing on innovation exemptions for DeFi protocols.</p>
<p>This initiative aims to position the US as a global crypto leader by providing regulatory clarity, potentially impacting DeFi protocols and peer-to-peer crypto trading with increased market stability.</p>
<h2 id="sec-and-cftc-announce-joint-crypto-initiative">SEC and CFTC Announce Joint Crypto Initiative</h2>
<p><strong>SEC Chair Paul Atkins</strong> and <strong>CFTC Acting Chair Caroline D. Pham</strong> announced a joint initiative to harmonize crypto regulations. Their goal is to provide greater regulatory clarity and foster innovation within the digital asset space. This collaborative effort underscores the commitment of these agencies to support market development for digital assets in the U.S. According to <a href="https://www.sec.gov/newsroom/speeches-statements/atkins-111225-secs-approach-digital-assets-inside-project-crypto" rel="noopener noreferrer nofollow">Paul Atkins</a>, “A key priority of my Chairmanship is clear rules of the road for the issuance, custody, and trading of crypto assets while continuing to discourage bad actors from violating the law.”</p>
<p>The harmonization statement highlights the agencies' focus on <a href="https://www.fintechanddigitalassets.com/2025/09/sec-and-cftc-announce-harmonization-initiative-and-new-crypto-developments/" rel="noopener noreferrer nofollow">innovation exemptions for DeFi protocols</a> and promoting <strong>self-custody</strong> as an American value. This aligns with the U.S.'s ambition to position itself as a global leader in crypto adoption and regulation.</p>
<h2 id="proposed-rules-to-affect-crypto-asset-trading">Proposed Rules to Affect Crypto Asset Trading</h2>
<p>The proposed regulations are likely to impact a wide array of digital assets, including <a href="https://www.sec.gov/rules-regulations/no-action-interpretive-exemptive-letters/division-corporation-finance-no-action/fuse-crypto-limited-112425" rel="noopener noreferrer nofollow">spot cryptocurrencies</a> and derivates like perpetual contracts traded through DeFi platforms. This move could lead to greater investor confidence and clarity within the market.</p>
<p>The joint proposal suggests <strong>expanding trading hours</strong> and <a href="https://www.sec.gov/newsroom/speeches-statements/peirce-statement-tokenized-securities-070925" rel="noopener noreferrer nofollow">clarifying prediction markets</a>. Historical trends show similar initiatives have successfully integrated new trading practices, suggesting potential growth and stability in crypto markets under these proposed frameworks.</p>
<h2 id="experts-forecast-enhanced-u-s-crypto-leadership">Experts Forecast Enhanced U.S. Crypto Leadership</h2>
<p>Past regulatory initiatives by the SEC and CFTC have paved the way for the current harmonization proposal. Previous agendas have successfully addressed market concerns, establishing a precedent for effective regulatory updates in the crypto industry.</p>
<p>Experts from <a href="https://www.sec.gov/newsroom/press-releases/2025-112-sec-cftc-issue-joint-statement-regulatory-harmonization-efforts-will-co-host-roundtable-sept-29" rel="noopener noreferrer nofollow">Kanalcoin</a> highlight that successful regulation could strengthen U.S. leadership in global crypto markets. If past trends serve as a guide, the proposed regulatory clarity will further the <strong>adoption and integration</strong> of digital currencies in traditional financial markets.</p>
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    <td><em><strong>Disclaimer</strong>: This <a href="https://www.kanalcoin.com/" rel="noopener noreferrer nofollow"><strong>website</strong></a> provides information only and is not financial advice. Cryptocurrency investments are risky. We do not guarantee accuracy and are not liable for losses. Conduct your own research before investing.</em></td>
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</figure> <a href="https://www.kanalcoin.com/sec-cftc-harmonized-crypto-regulation/" rel="noopener noreferrer nofollow">Read original article on kanalcoin.com</a>

SEC and CFTC Propose Harmonized Crypto Regulation

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