[Paul Atkins: SEC to Introduce 'Innovation Exemption' to Support On-Chain Tokenized Securities Trading] Paul Atkins, Chairman of the U.S. SEC, stated during a speech at the Economic Club of Washington that the SEC is advancing reforms to the regulatory framework for digital assets, incorporating the 'A-C-T' strategy, which includes modernizing regulations, clarifying regulatory boundaries, and reshaping the rule system. The SEC has released a classification framework for crypto tokens, dividing digital assets into five categories, four of which are not considered securities. The SEC is set to launch an 'Innovation Exemption' mechanism to provide a framework for compliant on-chain transactions and will initiate Project Crypto to promote the migration of capital markets onto the blockchain. Last month, the SEC signed an MOU with the CFTC to unify key definitions and coordinate joint regulatory matters. Paul Atkins noted that previous U.S. regulatory approaches had driven innovation overseas.