In a recent speech, Atkins outlined a pro-crypto vision that Hougan called the most bullish he’s ever read. He pointed out that it specifically supports blockchain innovation, DeFi, and financial super apps. Since Trump’s election and Gensler’s resignation, crypto markets have surged, but Hougan argues the implications of Atkins’ regulatory pivot are still “not priced in.”
SEC Pivot Still Flying Under the Radar
Crypto investors may be underestimating the implications of the United States Securities and Exchange Commission’s (SEC) changing stance on digital assets. This is according to Matt Hougan, chief investment officer at Bitwise.
In some of his comments made on Tuesday, Hougan specifically referred to a recent speech by SEC Chair Paul Atkins, which was delivered at the America First Policy Institute. He called it a turning point in the regulatory approach to crypto—one that may not yet be fully reflected in current market valuations.
Hougan described the speech as “the most bullish document I’ve read on crypto,” and pointed out that it wasn’t authored by an online influencer but by the head of the country’s top securities regulator. He added that the vision Atkins outlined left him questioning whether he or the broader market priced in the magnitude of the policy shift. Hougan now believes that after reading the address, any investor or finance professional should feel compelled to increase their crypto exposure.
Matt Hougan
Since the election of President Donald Trump and the subsequent resignation of former SEC Chair Gary Gensler, crypto markets experienced an impressive resurgence. Bitcoin surged to new all-time highs after Gensler’s departure on Jan. 20, and again when Atkins was sworn in on April 21. Under Atkins’ leadership, the SEC took on a much friendlier approach by shelving a number of long-standing enforcement actions against crypto firms and introducing “Project Crypto.” This is a framework designed to provide regulatory clarity.
Despite these developments, Hougan believes the broader market still has to fully grasp their long-term implications. “I’m realizing I have to think bigger — and move to a faster timeline,” he said, and suggested that if even he was surprised by the speech, others likely were too.
In the address, Atkins placed a lot of emphasis on the importance of nurturing blockchain innovation by ensuring that regulatory frameworks do not stifle the evolution of on-chain financial markets. Hougan said that the speech appeared to consolidate the best ideas from crypto advocates over the past decade, now being championed by the very agency that once posed a massive barrier to industry growth.
Atkins’ comments also spotlighted transformative potential in two specific areas: public blockchains and financial super apps. Hougan argued that if most assets—ranging from stocks to currencies—transition to public blockchains, investor demand for exposure to those underlying networks will inevitably rise. He also mentioned how companies like Coinbase and Robinhood, which started to embrace the super app model, could leverage this regulatory tailwind to become trillion-dollar financial giants. “Atkins just gave them a roadmap,” Hougan said.
Another major beneficiary of this regulatory pivot could be decentralized finance (DeFi), which has long operated in a murky legal environment. Atkins once again mentioned the importance of DeFi in the future financial landscape, opening the door for its wider integration into both traditional and crypto markets. Hougan speculated that with clearer guidance, DeFi’s current numbers could expand dramatically—by 10x, 50x, or even 100x.
Overall, the speech is a fundamental shift in Washington’s posture toward crypto, and Hougan’s reaction suggests that the full ramifications have yet to ripple through markets.
