Paul Atkins says NFTs are typically collectibles, not investment contracts. Therefore, the issuance of such tokens should be easier in the USA.
SEC bails out NFTs
After the U.S. Securities and Exchange Commission (SEC) identified four broad categories of digital assets that are not subject to securities laws, Chairman Paul Atkins explained why NFTs typically do not meet the definition of a security.
Atkins said digital collectibles are generally treated as items that you buy and hold, much like physical collectibles, rather than as investment contracts.
Some of these collectibles, like a baseball card or a meme or one of these memcoins, NFTs – it’s something that someone buys. It’s not like any other asset that people trade
– he said.
This means that NFT issuers will not be subject to SEC scrutiny.
We are breaking with the past
It all fits in with what the SEC has been doing lately. During Atkins’ term, the securities regulator changed its cryptocurrency policy.
We are breaking with the past
– Atkins said in an interview with CNBC. He added that he wants the SEC to provide clearer guidance and a more predictable regulatory framework for the digital asset sector.
Last year he criticized the agency’s previous approach of “regulation through enforcement” and pledged to move away from that approach. Which, as you can see, he succeeded. He also pointed to tokenization as a key innovation that regulators should support, not restrict.
Atkins believes that past regulatory failures have caused the United States to lag behind in cryptocurrency market development by up to a decade. Thus, it fits into the narrative, among others. Donald Trump, who claims that if the US does not take advantage of its opportunity in the blockchain market, China will.
