SEC Plans "Innovation Exemption" for Crypto Projects

SEC Chair Paul Atkins said the agency will implement an “innovation exemption” by year-end to accelerate digital asset products. Speaking on Fox Business, Atkins said the exemption would allow firms to quickly launch on-chain services without onerous securities compliance.

The policy is part of Project Crypto, an initiative unveiled in July to modernize SEC rules for digital assets. Proposed measures include exemptions for ICOs, airdrops, network rewards, and tailored safe harbors for products historically burdened under New Deal-era financial laws.

Atkins said staff are drafting rulemakings for release in coming months while coordinating with the CFTC on harmonized oversight. Both agencies will host a joint roundtable next week focused on returning “novel and innovative” financial products to US markets.

Lawmakers are advancing a crypto market structure bill, with House and Senate versions expected to consolidate before year-end. White House advisor Patrick Witt predicts passage this year, aligning momentum with regulatory reforms to strengthen America’s role in digital asset leadership.

Buterin Praises Coinbase’s Base as Secure Layer 2

Ethereum co-founder Vitalik Buterin praised Coinbase’s Base network, calling it an example of “doing things the right way.” He said centralized features improve user experience while Ethereum’s decentralized base layer ensures that funds remain secure and non-custodial. Buterin also defended analytics platform L2Beat, noting it measures properties that genuinely protect users from being exploited.

Base, launched in 2023 with the Optimism tech stack, now holds around fifteen billion dollars. Critics argue Base’s centralized origins theoretically allow fund theft, though Buterin dismissed those concerns as misleading. He emphasized Layer 2 systems remain extensions of Ethereum, enabling scalability without undermining trust, despite persistent debate around centralization risks.

Ripple RLUSD Stablecoin Added to Securitize Platform

Ripple announced its RLUSD stablecoin was integrated into Securitize, enabling investors to redeem tokenized fund shares for liquidity. The smart contract-powered feature works continuously, giving institutional clients instant access to dollar-pegged assets across multiple supported blockchains. Ripple said RLUSD reached a $740 million market cap within its first year, serving institutional demand.

Securitize already supports Circle’s USDC for BlackRock’s BUIDL fund, valued at two billion dollars across multiple chains. VanEck’s VBILL treasury fund, worth seventy-four million dollars, is also exchangeable for RLUSD tokens. Executives said the integration expands XRPL’s ecosystem while offering investors yield-bearing assets, combining stablecoin utility with tokenized real-world financial instruments.

Bubblemaps Rewards Sleuths With BMT Token Airdrops

Analytics firm Bubblemaps launched Intel Desk, rewarding contributors who identify scams or suspicious activity with BMT tokens. The program allocates thirty million tokens (about 3% of supply) through seasonal airdrops worth nearly two million dollars. Bubblemaps CEO Nicolas Vaiman said Intel Desk adds permanence and structure compared with informal posts on social platforms.

Rewards will come from both Bubblemaps’ treasury and fees collected from users who create or vote on cases. Over time, a bounty system will allow individuals to fund investigations, distributing rewards to sleuths who provide valuable intelligence. Vaiman said Intel Desk strengthens crypto’s defense layer by exposing repeat offenders and building reputational accountability.

Data of the Day

Henley & Partners reported global crypto millionaires rose 40% to 241,700, alongside thirty-six billionaires worth $3.3 trillion. Bitcoin investors accounted for most new wealth, with seventeen billionaires and seventy percent growth among Bitcoin millionaires driving the increase. Researchers attributed the surge to institutional adoption, token launches, and broader mainstream acceptance of digital assets.

The study estimated 590 million global crypto holders, about 7.4% of the world’s population, with 295 million holding Bitcoin. Singapore, Hong Kong, and the United States ranked highest in adoption metrics, leading for regulation, infrastructure, and public usage. Analysts said governments and wealth managers must adapt quickly as borderless digital wealth challenges traditional financial oversight frameworks.

More Breaking News

• DBA Asset Management proposed slashing Hyperliquid’s HYPE token supply by 45%, revoking unminted allocations and burning reserves to improve tokenomics.
• Australian fitness firm Fitell secured a $100 million credit facility to build a Solana treasury, rebranding as Solana Australia Corporation with yield-focused strategies.
• Senator Cynthia Lummis called for stronger safeguards around Bitcoin ATMs in upcoming crypto legislation, citing rising scams that target seniors and weak kiosk protections.
• YZi Labs, the $10 billion family office of Binance co-founder Changpeng Zhao, may open to external investors by converting into a formal investment fund.
• World Liberty Financial co-founder Zak Folkman said the project will launch a debit card soon while pledging it will never build its own chain.
• Kazakhstan’s central bank launched Evo stablecoin with Solana and Mastercard, pegged to the tenge and issued by Intebix and Eurasian Bank under regulatory sandbox rules.

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