SEC Unveils Cryptocurrency Regulation Plans as CLARITY Act Stalls

The US Securities and Exchange Commission (SEC) is set to unveil its plans for regulating cryptocurrency on Friday, August 14. The agency's proposal, known as Regulation Crypto, aims to provide a dedicated legal path for token offerings and exemptions from full securities registration.

The move comes as the Senate left for recess without passing the CLARITY Act, which would have divided digital asset oversight between the SEC and the Commodity Futures Trading Commission (CFTC). CFTC Chair Michael Selig has warned that regulators will write the rules if Congress stalls.

The SEC's proposal grew out of Project Crypto, a regulatory package introduced by Chairman Paul Atkins in 2026. It includes registration exemptions for token sales, safe harbors for decentralizing projects, and custody standards for broker-dealers. Atkins has stated that statute is the way to future-proof something, but the agency stands ready to act alone if necessary.