The chairman of the U.S. Securities and Exchange Commission (SEC) stated on Wednesday that the agency will soon consider establishing classification standards for digital assets to determine when they qualify as securities.

According to prepared remarks, SEC Chairman Paul Atkins noted, "In the coming months, I expect the Commission to deliberate on creating a token classification framework grounded in the legal distinctions between securities and commodities." He added that this system would acknowledge "the jurisdictional limits of our regulations."

The comments were made during Atkins' speech at the Federal Reserve Bank of Philadelphia's annual fintech conference. The cryptocurrency industry, which has grown increasingly influential, has long urged the SEC to clarify its regulatory boundaries—a key demand that this initiative may address.

Former U.S. President Donald Trump, who received financial backing from the crypto sector during his campaign, supported digital assets and pledged a comprehensive overhaul of regulations criticized by major industry players.

Atkins also mentioned that the Commission is expected to evaluate an "exemption framework" to establish tailored issuance rules for digital assets deemed securities due to their association with investment contracts. This move aligns with legislation currently being drafted in Congress.

Additionally, Atkins echoed Trump's call for lawmakers to pass crypto market structure legislation by year-end.