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Number Go Down and Other Schadenfreude - Remarks at ETHDenver

SEC Chairman Paul Atkins and Commissioner Hester Peirce discussed the agency's shift toward providing regulatory clarity for the crypto industry at ETHDenver. The SEC plans to introduce an innovation exemption for tokenized securities, collaborate with the CFTC on joint rulemaking, and focus on developing frameworks for custody, capital formation, and on-chain securities, while emphasizing that regulation should not be a barrier to innovation.

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Why It Matters

The SEC is signaling a significant pivot from 'regulation by enforcement' to a collaborative, framework-based approach, which could reduce legal uncertainty for crypto-native firms and TradFi incumbents looking to integrate blockchain technology.