U.S. Securities and Exchange Commission Chair Paul Atkins said on 18 July 2025 that agency staff are examining an "innovation exemption" that could ease certain regulatory requirements for firms seeking to tokenize financial assets. The measure is intended to lower compliance costs and accelerate the shift of traditional securities and other instruments onto blockchain-based rails. “Assets clearly are moving on-chain. If it can be tokenized, it will be tokenized,” Atkins told reporters, adding that the SEC wants to provide a clearer pathway for developers while maintaining investor protections and market transparency. He characterized tokenization as an efficiency upgrade comparable to the move to T+1 settlement and said the agency is looking at additional rule changes to encourage the practice. Atkins’s comments build on public remarks earlier this month in which he called tokenization “a real innovation” and pledged to move away from “regulation through enforcement.” The review comes as Congress advances digital-asset measures, including House-approved stablecoin legislation and the GENIUS Act, both of which Atkins has described as important steps for U.S. market competitiveness.