Amid a sharp Friday sell-off in markets, the SEC unveiled what Bernstein analysts call “the boldest and most transformative crypto vision ever laid out by a sitting SEC chair.”
What Happened: In a speech titled “Project Crypto,” SEC Chairman Atkins outlined a sweeping reform agenda that reimagines U.S. capital markets around blockchain-native infrastructure and tokenized assets.
According to a note on Aug. 4, the speech challenges decades of regulatory precedent.
“Our regulatory framework need not be anchored to an analog past, unkind to new frontiers,” Atkins said. “The future is arriving at full speed, and the world is not waiting.”
Atkins formally acknowledged that “most crypto assets are not securities,” calling for the SEC to use its interpretative and exemptive powers to clarify the classification of digital assets, distinguishing between digital commodities, stablecoins, and digital collectibles.
This marks a decisive break from previous SEC posture.
Bernstein notes that the SEC intends to “reshore” crypto innovation by allowing U.S. firms to issue tokenized versions of stocks and bonds domestically, eliminating the need for offshore structures.
Also Read: Crypto Founders, Take Note: These SEC Roundtables Could Decide The Rules That Govern You
Why It Matters: The report says the agency has already received tokenization proposals from major Wall Street institutions and unicorn tech companies.
Crucially, Project Crypto envisions a “Reg-Super App” framework: consolidating multiple financial licenses under one umbrella, enabling broker-dealers to offer both traditional securities and crypto-native services such as staking and lending through a single platform.
The SEC also aims to support “big beautiful on-chain software systems,” Bernstein writes, by updating agency rules to facilitate decentralized financial infrastructure like automated market makers and blockchain-based lending.
These changes would enable 24/7 instant settlement, asset cross-collateralization, and on-chain interoperability across asset classes.
As Atkins summarized, “It is time to upgrade the financial system from online to on-chain.”
Bernstein analysts view this shift as a dismantling of traditional regulatory moats. “Within our coverage,” they write, “platforms such as Coinbase (NASDAQ:COIN), Robinhood (NASDAQ:HOOD), Circle (NYSE:CRCL) can now connect the bridge from native Crypto capital markets to broader integrated on-chain capital markets.”
