SEC Commissioner Peirce Declares Tokenized Securities Under the Purview of the Regulator

Commissioner Hester M. Peirce of the U.S. Securities and Exchange Commission (SEC) has clarified the regulator’s stance on tokenized securities in a new statement. According to an official SEC statement released by Peirce, the burgeoning sector of tokenized securities falls under the regulator’s shadow. “As powerful as blockchain technology is, it does not have magical abilities to transform the nature of the underlying asset. Tokenized securities are still securities. Accordingly, market participants must consider—and adhere to—the federal securities laws when transacting in these instruments.” Peirce says that firms distributing tokenized securities must still consider their disclosure obligations to the SEC under federal law and ensure their practices are aligned with the law in order to avoid potential penalties. Peirce also says that purchasers of said tokenized securities should also consider the implications of securities laws when reporting their holdings. Furthermore, the SEC commissioner says the regulator is open to working with the market to optimize regulations. “Market participants, as they structure their tokenization product offerings, should consider meeting with the Commission and its staff. When unique aspects of a technology warrant changes to existing rules or where regulatory requirements are outdated or unnecessary, we stand ready to work with market participants to craft appropriate exemptions and modernize rules.” Follow us on X , Facebook and Telegram Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post SEC Commissioner Peirce Declares Tokenized Securities Under the Purview of the Regulator appeared first on The Daily Hodl .