New Regulatory Framework in the Works: US Crypto Task Force Emphasizes RWA Tokenization in Recent Roundtable

The draft legislation for cryptocurrencies in the United States is expected to be completed by August this year. To finalize these rules, the SEC’s Crypto Task Force is collaborating with industry representatives to discuss key issues concerning the regulation of the cryptocurrency market. This week, the roundtable concentrated on the tokenization of real-world assets (RWAs). Paul Atkins, the chair of the Crypto Task Force, spoke at the event, noting the rapid transition of securities from off-chain databases to on-chain networks, highlighting the increasing use of Web3 technologies.

During his keynote presentation, Atkins stated that the forthcoming crypto regulations will thoroughly address the guidelines and limitations pertaining to the issuance, custody, and trading of digital assets. This includes not only cryptocurrencies but also tokenized RWAs among other types of assets.

The primary focus of this recent roundtable was the «Evolution of Finance: Capital Markets.» Representatives from notable asset management companies like Fidelity, BlackRock, and Apollo Management were present, alongside SEC officials such as Atkins, Commissioner Hester M. Peirce, and Commissioner Mark T. Uyeda.

Concerning the tokenization of RWAs, Atkins remarked, «tokenization can improve capital formation by converting relatively illiquid assets into more liquid investment opportunities.» He also mentioned that «on-chain securities can employ smart contracts to transparently provide dividends to shareholders on a consistent schedule.»

Atkins compared the transition of securities from off-chain to on-chain systems to the historical evolution of audio recording technology, which moved from analogue vinyl records to cassette tapes, eventually advancing to digital formats over the years.

Under his leadership, the Crypto Task Force is dedicated to developing a logical regulatory framework that clearly defines the rules and guidelines for participants in the Web3 landscape, promoting further Web3 adoption.

«My first priority is to ensure the Commission formulates clear and practical guidelines for crypto asset distributions. Secondly, I advocate for offering registrants greater flexibility in how they handle custody of crypto assets. Lastly, I support enabling registrants to facilitate a wider range of products on their platforms in response to market needs,» Atkins stated during his keynote.

In the months leading up to August, additional roundtable discussions are expected to take place at the SEC headquarters in Washington, DC.

Topics Discussed So Far

The Crypto Task Force, which was established by US President Donald Trump earlier this year, is responsible for designing the United States’ cryptocurrency regulatory framework. In March, the task force announced its intention to conduct a series of roundtable meetings to obtain public feedback on its regulatory stance concerning Web3.

The first session took place on March 21, with discussions centered around what was named the «Spring Sprint Toward Crypto Clarity.»

In recent weeks, topics like trading regulations and Know Your Customer (KYC) requirements have also been the focus of these meetings. Each roundtable session has been open for public engagement.

Peirce noted, «the roundtables serve as a platform for us to engage in vibrant discussions among experts about regulatory challenges and how the Commission can address them.»