Two top SEC officials just laid out their crypto endgame

Two of the most senior figures at the US Securities and Exchange Commission have publicly aligned on a shared vision for crypto regulation, with both signalling that the landmark CLARITY Act could become law before the year is out.

Peirce Eyes a Summer Senate Vote

SEC Commissioner @HesterPeirce said she expects the Clarity Act to pass this summer, speaking on the Searching for Mana podcast. The CLARITY Act is a proposed US market-structure bill designed to define digital assets, split oversight between the SEC and the CFTC, and create registration rules for crypto exchanges, brokers, and dealers. The House passed the CLARITY Act 294-134 on July 17, 2025, the most comprehensive crypto bill ever to clear a chamber of Congress. It now awaits action in the Senate.

Peirce highlighted three core features of the bill: a formal division of regulatory authority between the SEC and CFTC, a sharpening of the Howey Test to bring greater legal clarity to token classifications, and liability protections for developers whose tools are misused by third parties. The CLARITY Act would grant the CFTC "exclusive jurisdiction" over digital commodity spot markets, while maintaining SEC jurisdiction over investment contract assets.

The Senate path, however, is not straightforward. The bill cleared the Senate Banking Committee 15-9 in May 2026, but a full Senate vote still hinges on three unresolved issues: stablecoin yield, DeFi oversight, and an ethics provision aimed at officials profiting from crypto. The path to law is also complicated by the Senate Banking Committee's release of a discussion draft of the Responsible Financial Innovation Act of 2025, which offers an alternative regulatory framework.

Atkins Pledges to Bring Builders Back

SEC Chair @SECPaulSAtkins echoed Peirce's tone in a separate Fox News interview, saying the administration wants America to be the world's crypto capital and pledging to bring back developers who left under the previous regulatory regime. His comments are consistent with the broader agenda he has been advancing at the Commission. To achieve President Trump's vision of making America the crypto capital of the world, Atkins has said the SEC must holistically consider the potential benefits and risks of moving markets from an off-chain environment to an on-chain one.

Atkins has directed SEC staff to develop a comprehensive regulatory framework to bring crypto asset distributions back to the US, in order to eliminate reliance on offshore structures and provide legal clarity for innovators. The SEC is signalling a significant shift, from enforcement-led regulation to a proactive, innovation-friendly stance, positioning itself as a partner in America's crypto future.

Together, the two officials paint a picture of an agency that has moved decisively away from the aggressive enforcement posture of the Gensler era. Whether that translates into enacted legislation will depend on whether the Senate can reconcile its competing drafts and secure the 60 votes needed for a floor vote.

Sources:
SEC Chair Atkins: American Leadership in the Digital Finance Revolution (SEC.gov)
Clarifying the CLARITY Act: Arnold & Porter Advisory
CLARITY Act Explained: SEC and CFTC Crypto Rules in 2026 (Datawallet)