SEC’s Atkins Says Crypto Is Still Stuck In ‘1930s-Type’ Era Rules, Calls For Overhaul

• Securities and Exchange Commission Chair Paul Atkins said the current regulatory framework for crypto is rooted in a “1930s-type” system on Monday.
• He said legacy disclosure processes were not suited for token-based ecosystems and create heavy legal and compliance burdens.
• Senator Cynthia Lummis signaled that the CLARITY Act could be marked up in May.

The head of the U.S. Securities and Exchange Commission (SEC) said that crypto markets were still regulated under a framework designed nearly a century ago. Speaking at the Bitcoin Conference 2026 in Las Vegas, SEC Chair Paul Atkins said that the agency’s current framework reflected a “1930s-type” system and was not built for today's digital assets.

Atkins, the first SEC President to speak at the conference, sat down for a conversation with Digital Chamber founder Perianne Boring, cited legacy disclosure systems and legal definitions that don’t fit blockchain-based markets as reasons behind the struggles. He said that there was a need for reform from that “1930s type of thing,” which would “future-proof what's going forward.”

Atkins also pointed to long-standing confusion among regulators, saying that overlap in oversight by the SEC and the Commodity Futures Trading Commission (CFTC) has historically created uncertainty for crypto firms trying to establish where they fall under the law.

Tokenized Equities In Focus

Atkins also discussed tokenized equities at the conference, describing them as a key area where blockchain could reshape financial markets. He said the technology could enable faster, near-instant settlement of trades and reduce the number of intermediaries involved, noting that current systems involve multiple steps between execution and final settlement. 

According to Atkins, shortening this gap could help reduce financial system risk while opening the door to more efficient market structures.

Atkins has maintained that crypto assets such as Bitcoin are digital commodities. Speaking with CNBC last year, Atkins said the “SEC informally stated” that Bitcoin and Ethereum were “not a security,” referring to the SEC's treatment of the cryptocurrencies as securities. 

Bitcoin’s price was trading at $76,745, down over 1% during the last 24 hours. On Stocktwits, retail sentiment around BTC remained in the ‘bullish’ zone, while chatter stayed at ‘normal’ levels over the past day.

His comments come days after JPMorgan highlighted tokenization as a major shift in market infrastructure. “We believe tokenization will drive how markets evolve, not just for exchange-traded funds (ETFs) but across the funds industry,” said Ciarán Fitzpatrick, JPMorgan’s (JPM) global head of ETF product, securities services, last week. 

Shift From Gensler Era

Atkins’ remarks signal a shift from the ‘chokepoint’ approach under former SEC Chair Gary Gensler, who had taken a more enforcement-driven stance toward the crypto industry.

Gensler repeatedly argued that most digital assets fall under existing securities laws and pushed firms to register with the SEC, while critics said the framework lacked clarity and was difficult to comply with. By contrast, Atkins described the current phase as a “new day” at the SEC, saying the agency was now more focused on enabling innovation and keeping digital asset activity within the United States rather than pushing firms “offshore.”

Senator Cynthia Lummis also noted at the conference that the CLARITY Act could be marked up in May after earlier delays, although Boring acknowledged that the events leading to that may not be “guaranteed.”

Read also: LUNC, APE Rally Hard While Bitcoin’s $79K Level Holds The Key To A Market Shift

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