SEC Chair Atkins states that the "Crypto Interpretation Order" is just the beginning; the 99% complete stablecoin bill is the key.

SEC Chair Atkins Clearly States This Week: The crypto asset interpretive rule released Tuesday is “not the end, but the beginning”—but the real showdown is in Congress: the stablecoin bill is 99% agreed upon, and the CFTC’s expanded authority in the market structure bill is also steadily progressing, with both legislative tracks burning simultaneously.
(Background: SEC releases crypto classification framework, Atkins declares: Most tokens are no longer securities)
(Additional context: Deep dive into the CLARITY Act: a new-old financial century game under the guise of regulation)

Table of Contents

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• The red line drawn by the interpretive rule: only tokenized traditional securities remain
• White House intervention: stablecoin bill “99% in place”
• Executive order vs. legislation: the validity period of clarity
• Market perspective: short-term bullish, long-term Congress

SEC Chair Paul Atkins gave a significant remark Thursday during a speech at the Practising Law Institute: “The interpretive rule provides the long-anticipated clarity the market has been urgently seeking, but I assure you, this is just the beginning, not the end.”

Behind this statement lies an even more important signal—Atkins clearly understands that the legal status of administrative interpretive rules has its limits, and the real key to locking in regulatory direction is legislation in Congress.

The red line drawn by the interpretive rule: only tokenized traditional securities remain

According to Atkins at this week’s DC Blockchain Summit, under the SEC’s latest interpretive framework, “only one category of crypto assets remains under securities regulation”: tokenized traditional securities. In other words, digital commodities, NFTs, digital tools, and stablecoins are all outside SEC jurisdiction.

CoinTelegraph reports that Atkins further emphasized that SEC’s regulatory focus will shift from the previous “enforcement replacing regulation” model to focusing on how federal securities laws apply to crypto assets—and this will be advanced under the recent cooperation memorandum between the SEC and the Commodity Futures Trading Commission (CFTC).

For projects waiting for ETF approval, this framework’s practical significance is straightforward. Applications for ETFs like SOL, XRP, DOGE, etc., often hinge on whether the underlying assets are considered securities. If the SEC clearly excludes these assets from its jurisdiction, the biggest legal hurdle for ETF approval is removed—leaving only procedural and timing issues.

White House intervention: stablecoin bill “99% in place”

Even more attention-grabbing than the interpretive rule is another news released the same day: Republican Senator Cynthia Lummis met with White House crypto advisor Patrick Witt to discuss the progress of the market structure bill.

A spokesperson from Lummis’s office said the meeting was “very productive and positive,” and that the divergence over stablecoin yields has “reached 99% consensus,” with negotiations on the digital asset bill also progressing smoothly.

This “99%” figure essentially reveals the current sticking point: can stablecoins pay yields to holders?

The core issue is fundamentally a conflict of industry interests. Traditional banking fears that if stablecoins can legally pay 4-5% yields, depositors will shift large amounts of funds from banks to stablecoin products—posing a direct threat to banks’ deposit base. Crypto industry players argue that stablecoin yields are just the natural interest earned on underlying assets (usually U.S. Treasuries), and restricting them amounts to discriminatory regulation. The disagreement isn’t technical but about whose business gets taken away.

Executive order vs. legislation: the validity period of clarity

A risk often underestimated by the market is that Atkins’s interpretive rule is an administrative interpretation, not legislation passed by Congress.

Administrative interpretive rules are quick and flexible, but their downside is equally clear—next SEC Chair can overturn them on their first day in office with a new interpretation. That’s why Atkins himself emphasizes “this is just the beginning”: he’s well aware that without congressional authorization to establish a framework, this regulatory philosophy is extremely fragile in the face of political shifts.

The CLARITY Act, passed by the House in July 2025, established the principle that “functionally decentralized” assets fall under CFTC jurisdiction. But as of Thursday, the Senate Banking Committee has yet to schedule a hearing—meaning full legislative authorization is still pending.

Market perspective: short-term bullish, long-term Congress

From a market standpoint, this week’s developments are clearly positive for crypto assets: SEC actively shrinking its jurisdiction, lowering legal barriers for altcoin ETFs, the stablecoin bill nearing enactment, and White House involvement—all happening simultaneously, which can be interpreted as a systemic improvement in the regulatory environment.

But it’s important to remain calm: real binding changes have yet to arrive. Interpretive rules can be overturned, the CLARITY Act has not yet passed the Senate, and the final 1% disagreement on the GENIUS stablecoin bill may be the toughest nut to crack.

If the CFTC formally takes over primary jurisdiction over digital commodities after legislation is completed, crypto exchanges will face a major compliance overhaul—from SEC securities rules to CFTC commodity trading regulations, which differ significantly. This will require firms’ legal and compliance teams to recalibrate.

Atkins says this is just “the beginning,” and that’s both humility and realism.