On Tuesday, August 19, 2025, U.S. Securities and Exchange Commission (SEC) Chair Paul Atkins said that a very small percentage of crypto tokens are treated as securities. Speaking at the Wyoming Blockchain Symposium, Atkins emphasized that the SEC is taking a fresh approach to digital assets, saying most tokens are not necessarily securities, financial instruments regulated under U.S. law.
“From the SEC’s perspective, we will plow forward on this idea that just the token itself is not necessarily a security,” Atkins said. “Very few, in my mind, tokens that are securities, but it depends on the package around it and how it’s being sold.”
Atkins’ comments mark a major shift from former SEC Chair Gary Gensler, who labeled the “vast majority” of crypto assets as securities under the Howey test, a legal standard used to determine if an investment qualifies as a security.
Gensler resigned on January 20, 2025, paving the way for Atkins’ appointment, with Commissioner Mark Uyeda serving as Acting Chair in the interim.
Congress Pushes Crypto Market Rules
The remarks come as Congress moves to create clearer rules for digital assets. The House of Representatives passed the Digital Asset Market Clarity (CLARITY) Act in July 2025, a law designed to define and regulate U.S. crypto markets clearly.
Senate Banking Committee Chair Tim Scott indicated bipartisan support for market structure legislation when the Senate returns from recess on September 2, 2025, noting as many as 18 Democrats could join Republicans in backing the bill.
Atkins also touched upon the Project Crypto initiative of the SEC, which is supposed to create regulatory frameworks to govern companies that trade in blockchain-based tokens, protecting investors without stifling innovation in the crypto market.
This direction is an indicator of a more discriminatory regulatory approach to digital assets, which gives clarity to businesses and investors who are trying to navigate the emerging U.S. crypto market.
Also Read: SEC Extends Review of Nine Crypto ETF Filings Into October