TechFlow News, May 9: According to the U.S. Securities and Exchange Commission (SEC) website, SEC Chair Paul S. Atkins delivered a speech on May 8 at the Special Competitive Studies Project’s AI+ Summit, outlining the SEC’s regulatory direction concerning AI and on-chain financial markets.
Atkins stated that the SEC will advance several regulatory initiatives targeting on-chain markets, including: establishing rules defining “exchanges” for on-chain trading systems; clarifying the applicability of definitions for “brokers” and “dealers” to on-chain activities; delineating the scope of the definition of “clearing agencies” as it applies to on-chain clearing and settlement activities; and providing regulatory guidance for activities related to “crypto vaults.”
Regarding AI regulation, Atkins emphasized that the SEC will not mandate specific AI models for firms. Instead, the SEC remains committed to its core mission of protecting investors, maintaining fair and efficient markets, and facilitating capital formation—and requires firms to take responsibility for the outcomes produced by their deployed AI tools.
Atkins also urged Congress to promptly send the CLARITY Act to the President for signature, thereby providing long-term regulatory certainty for the digital asset market through legislation. He warned that driving innovation overseas would repeat the FTX collapse, ultimately harming U.S. investors.
