#ProjectCrypto is an initiative launched by the U.S. Securities and Exchange Commission (SEC) to modernize securities regulations and integrate digital assets into the financial system. Led by SEC Chair Paul Atkins, the project aims to establish clear rules for cryptocurrency trading, custody, and distributions, moving away from a "regulation-by-enforcement" approach. A key goal is to distinguish between cryptocurrencies that are securities and those that are not, while also creating exemptions and "safe harbors" for certain crypto-related activities. The project seeks to reduce regulatory red tape and encourage innovation, ultimately aiming to make the United States a global leader in the digital finance revolution.