SEC Launches 'Project Crypto' to Rewrite Rules for On-Chain Markets

SEC launches Project Crypto to bring traditional finance on-chain Chairman Paul Atkins unveiled a sweeping initiative to update US securities rules for tokenized markets, signaling the biggest regulatory shift in years. The SEC will coordinate with the CFTC and aims to have new pathways by mid-2026. 1

$221M flows into Bitcoin ETFs, ending 10-day outflow streak Fidelity's FBTC led with $166M, while BlackRock's IBIT saw a $40M outflow. The rebound helped Bitcoin recover to ~$61,700 after hitting 21-month lows. 2

Robinhood Chain goes live with tokenized stocks and ownership caveat Robinhood launched its L2 blockchain on Arbitrum Orbit, enabling tokenized US stock trading in 120+ countries. However, the Stock Tokens are debt securities, not equity, and holders get no voting rights. 3

Securitize tokenizes $295M of its own stock on Solana and Avalanche On its NYSE debut day, Securitize launched tokenized shares of its common stock on Solana and Avalanche, the largest issuer-sponsored tokenized stock at launch. 4

Tether CEO calls MiCA stablecoin rules dangerous, refuses to apply Paolo Ardoino said EU reserve requirements could trigger systemic bank failures, as USDT gets delisted from major European exchanges after the July 1 deadline. 5

Senate urged to vote on CLARITY Act before August recess With lawmakers returning July 13, advocates warn that failure to schedule a vote could stall the bill for an extended period, leaving crypto in regulatory limbo. 6

Brazil to regulate crypto VASPs like traditional securities brokerages The Central Bank issued Resolution 580/2026, classifying VASPs as Type 3 with same prudential requirements as brokerages, effective January 1, 2027. 7

RBI reiterates opposition to legalising cryptocurrency in India The central bank told a parliamentary panel that virtual digital assets pose risks to the economy, citing terror funding and offshore transaction concerns. 8

KakaoPay develops super wallet for stablecoins and tokenized assets South Korea's dominant mobile payments platform with 40 million users is building a unified wallet to handle won-denominated stablecoins alongside traditional money. 9

Ondo Finance launches first custodial tokenized securities in US Ondo partnered with Broadridge to integrate world-class governance for tokenized securities, marking a milestone for US-regulated on-chain assets. 10

Europe's crypto firms drop from 3,167 to 244 after MiCA deadline Just 244 firms hold a full CASP license after the July 1 deadline, with Germany hosting 23% of them. Binance and Tether are outside the regulated market. 11

US Treasury sanctions over 100 ISIS-K crypto addresses, Tether freezes funds OFAC added 134 wallet addresses (131 Tron, 3 Monero) linked to ISIS-K, which solicited donations via crypto. Tether froze balances on all Tron addresses. 12

Ether.fi proposes Aave V4 integration to power its crypto credit card The proposal would replace EtherFi Cash's backend with Aave V4 on Optimism, reducing operational burden and leveraging Aave's liquidity. Aave would receive 20% of Reserve Factor Income. 13

Anchorage Digital expands US institutional access to Lido's wstETH Clients of the federally chartered crypto bank can now custody and stake wstETH, integrating liquid staking into institutional workflows. 14

SEC seeks novel ideas for novel ETFs with Request for Comment The SEC issued an RFC on novel ETFs, raising fundamental questions about how innovative exchange-traded funds can be structured and brought to market. 15