Recent testimony from SEC Chair Paul Atkins suggests a potential shift in the way the agency regulates cryptocurrencies. While enforcement actions will likely continue, Atkins highlighted his support for moving towards a rule-based approach that provides clarity and fosters innovation in the digital asset market. This signifies a possible departure from relying solely on court cases to shape regulations, leading to specific rules specifically designed for crypto exchanges, platforms, and other market participants. The move marks a welcome change sought by the industry, which has long emphasized the need for clear regulatory frameworks. However, challenges remain in defining ‘security’ and navigating jurisdictional complexities within a global market. While this shift towards rule-making holds promise for greater certainty and predictable growth, it requires careful consideration, collaboration, and time to ensure effectiveness.