Interpreting SEC Chairman's Statement: "All U.S. Assets Will Be On-Chain Within 2 Years"—A Global Export of Assets Under the Guise of an Efficiency Revolution

The comprehensive tokenization of US assets means expanding from single “cash-like stablecoins” to all asset classes. This is equivalent to building a “digital pipeline” directly connecting the US “capital account surplus” to the global middle class and retail investors.

Author, source: Nathan Talks RWA

On December 8, according to Forbes, Paul Atkins, Chairman of the US Securities and Exchange Commission (SEC), said in a live interview with Fox News that the entire US financial market is expected to shift to blockchain technology supporting Bitcoin and cryptocurrencies within the next two years. Atkins stated, “The world will be like this; it may not take 10 years, maybe as little as two years. The next step will come with digital assets, market digitization, and tokenization, which will bring enormous benefits for transparency and risk management.”

I found the original interview video and carefully reviewed the full transcript. Here are the core points:

1️⃣ Tokenization is the next stage of development for the US financial market

Atkins said that the US capital market is entering a new era of digital assets and market digitization, and tokenization and on-chain settlement will be key components, representing the direction of modernization for traditional markets.

2️⃣ On-chain settlement can significantly improve efficiency

He mentioned:

There is currently a time lag between trading and settlement (T+1 / T+2)

Blockchain can achieve real-time settlement

This helps reduce counterparty risk and improve market transparency

3️⃣ “Comprehensive on-chain” could happen faster than most people expect—possibly in just a few years

He made a groundbreaking statement: the shift of capital markets toward tokenization could happen “faster than people think,” possibly in just a couple of years. Multiple media outlets interpreted this as: in about 2 years, the US financial market may become fully on-chain.

4️⃣ Project Crypto is paving the way for an upgraded regulatory framework

Atkins has included tokenization in the SEC’s global strategy:

Clarifying digital asset regulatory classification (token taxonomy)

Optimizing securities law adaptation

Building more efficient, verifiable market infrastructure

5️⃣ The US wants to maintain its lead in fintech competition

He mentioned:

The US cannot allow innovation to migrate to other jurisdictions

Compliance-friendly tokenization will attract capital, issuers, and global businesses

However, if we view this grand plan under the microscope of global currency landscape changes, the US debt-driven economic model, and geopolitical financial competition, we find a deeper and more urgent strategic intent:

This is a systemic project aimed at reshaping and consolidating the US dollar’s global dominance in the digital age, thus extending the life of the US economic model.

1. The Dollar’s “Digital Lifeboat”: From Trade Settlement Currency to Digital Value Carrier

The pillars of the traditional US dollar system are weakening. According to IMF data, the US dollar’s share of global official foreign exchange reserves has dropped from over 70% at the start of the century to about 58% in Q4 2023. Although it remains the dominant currency, the long-term downward trend is clear, reflecting the cumulative effects of global de-dollarization efforts and the emergence of a multipolar currency landscape.

Meanwhile, a private sector-led, blockchain-based digital dollar system is booming. According to CoinMarketCap and other sources, US dollar stablecoins such as USDT and USDC have a combined market cap exceeding $150 billion, accounting for over 99% of the stablecoin market. Attempts at euro, yen, and other sovereign currency stablecoins have almost all faded.

Key insight one: The success of stablecoins essentially establishes a global, 24/7 “digital dollar highway” outside the traditional banking system and Swift network. This allows the dollar to permeate the capillaries of global trade, remittances, and the digital economy more efficiently and inclusively. While the “official dollar” share in the IMF basket is slowly declining, “on-chain dollars” are growing exponentially. Comprehensive asset tokenization means “loading” all dollar-denominated assets—US stocks, Treasuries, real estate, etc.—onto this highway. The fundamental purpose is to upgrade the dollar’s global role from a “trade settlement currency” to an unshakable “digital store of value and investment target,” thus reversing its decline in traditional areas.

2. The “Digital Solution” for US Treasuries: From National Reserves to Global Retail Holdings

The US economy operates on the cycle of “exporting dollars through trade deficits, capital surpluses flowing back to buy Treasuries.” However, this cycle depends on insatiable global demand for Treasuries. Now, major central banks and sovereign wealth funds are increasingly cautious about increasing their holdings, leaving a gap among major buyers.

At this point, stablecoin issuers like Tether have emerged. As entities required to hold full reserves, they allocate the majority of their funds to short-term US Treasuries. According to public audit reports, as of the end of 2023, Tether held over $80 billion in US Treasuries. If considered a sovereign entity, Tether would be the world’s 22nd largest holder of US Treasuries, ahead of many countries.

Key insight two: Stablecoins are not only digital dollars, but also the “retail” and “globalized” distribution channels for US Treasuries. Every individual or merchant holding USDT in Argentina, Nigeria, or Southeast Asia is indirectly providing funding for US Treasuries. Comprehensive asset tokenization expands this model from single “cash-like stablecoins” to all asset classes. In the future, a retail investor in Vietnam could directly use blockchain to purchase and trade fractionalized Apple stock, US Treasury ETF shares, or commercial real estate income rights in tokenized form. This is equivalent to building a “digital pipeline” directly connecting the US “capital account surplus” to the global middle class and retail investors, greatly expanding the buyer base for Treasuries and dollar assets, and providing a brand new, continuous source of financing for the US fiscal deficit and debt economy.

3. The Ultimate Digitization of “Harvesting”: The Highway of Capital Surpluses

The foundation of the US is its ability to use financial and legal systems to convert global savings into investments in its debt and assets, thereby maintaining low interest rates, high consumption, and a leading position in high-tech investment.

Key insight three: The comprehensive tokenization of US assets is the ultimate digitization and efficiency revolution of this “harvesting” process.

Lowering the threshold for global investment: Tokenization allows high-value US assets to be fractionalized, enabling investors from anywhere in the world to participate at extremely low cost, greatly expanding the potential buyer pool.

Improving the speed and transparency of capital flows: 24/7 real-time settlement means global capital can move in and out of US assets at unprecedented speed and flexibility, responding to Fed policy or market opportunities, and strengthening the liquidity premium of dollar assets.

Strengthening network lock-in effects: Once global investors become accustomed to trading and custodial services in a compliant, efficient US on-chain financial market, powerful path dependency and ecosystem stickiness will form. The entire financial system’s standards, rules, and tech stack will be built around the US, forming a “Bretton Woods System 2.0” for the digital age.

Conclusion: A Quiet Revolution in Financial Order

Therefore, Paul Atkins’ remarks are far from a simple technology outlook. They are a strategic declaration, revealing the US financial elite’s clear understanding and radical response to internal debt pressures and external currency competition.