This Could Be the Last Bull Cycle that Feels Like Crypto
For years, Gensler’s SEC has been in conflict with the crypto industry, leading to lawsuits, mixed signals, and fear among market participants.
The Pivot to Embrace Crypto
Now, a significant shift is happening as “Project Crypto” officially positions crypto at the core of the U.S. market structure. The SEC declares that most crypto tokens are not securities, appoints Paul Atkins as the new SEC Chair prioritizing crypto, and encourages token launches, airdrops, and L2 solutions to operate domestically.
Regulatory Changes and Recognition
With a unified framework in development for self-classifying tokens and plans to transition U.S. markets to blockchain technology, the SEC formally acknowledges crypto’s role in capital markets. The objective is to establish the U.S. as a global leader in on-chain finance, eliminating decentralized theater and offshore practices.
The Impact on the Industry
While this regulatory shift signifies a major victory as regulation now aims to shape, not hinder, the crypto sector, it also marks the end of an era characterized by unbridled growth and offshore strategies. The industry is transitioning towards a cleaner, compliant, and more predictable environment, promoting stability but potentially limiting extreme growth opportunities.
Looking Ahead
Under comprehensive regulation, cycles like the current one may not be repeated, emphasizing the importance of savoring the current landscape of the crypto market.
Also read: Circle Adds USDC and CCTP V2 to Hyperliquid Platform for Enhanced Digital Asset Management
