SEC crypto plan heads to White House, safe harbor rules take shape

US Securities and Exchange Commission Chair Paul Atkins said a proposed crypto safe harbor framework has been submitted for White House review.

Speaking at the Digital Assets and Emerging Technology Policy Summit, US Securities and Exchange Commission Chair Paul Atkins confirmed that the agency’s “Regulation Crypto Assets” framework, first outlined in mid-March, has been submitted to the Office of Information and Regulatory Affairs, a required step before public release.

“We will have reg crypto that we will be proposing here shortly. It’s in fact at OIRA right now, which is the next step before being published,” Atkins said, indicating that formal rulemaking could follow soon.

The proposal lays out a three-part structure that would clarify how crypto projects raise capital and operate within securities law boundaries. 

It introduces a startup exemption that would allow early-stage projects to raise funds over a four-year window with lighter disclosure requirements. 

A separate fundraising exemption would permit issuers to raise capital within a 12-month period while still retaining access to other registration exemptions under federal securities laws.

At the core of the framework sits an investment contract safe harbor.

Under this provision, certain digital assets could eventually fall outside the definition of a security once project teams step back from any managerial role that had been promised or implied during fundraising.

Atkins suggested the agency is still shaping elements of the proposal and is seeking input from industry participants before locking in final terms. 

The goal, he said, is to ensure the framework is workable in practice, with additional provisions such as exemptive relief and safe harbor protections being considered as part of the broader package.

Under the standard rule making process, the SEC must first approve the proposal internally before sending it to OIRA for review. 

Once cleared, it is published in the Federal Register and opened to public comment, allowing market participants to weigh in before any final adoption.

Regulatory progress is happening

Momentum around the proposal comes at a time when Washington continues to grapple with a wider crypto regulatory framework. 

Legislative efforts such as the Digital Asset Market Clarity Act have remained tied up in negotiations for months, particularly over stablecoin rules and the balance of oversight between regulators. 

Lawmakers and industry groups are still working toward a compromise, with a potential Senate markup expected in April if talks hold.

Regulators, meanwhile, have begun coordinating more closely as they prepare for eventual rule changes. 

The SEC and the Commodity Futures Trading Commission recently signed a Memorandum of Understanding aimed at aligning oversight and reducing conflicting requirements across markets. 

The agreement sets out plans for joint policymaking, shared enforcement coordination, and clearer product definitions, alongside a broader initiative to streamline reporting and improve cross-market surveillance.

The SEC’s proposal, now under White House review, could become one of the first concrete steps toward a more defined operating environment for crypto firms in the US, even as Congress continues to debate regulations around broader market structure.