SEC Commissioner Hester Peirce calls for specific token issuers to engage in discussions with the SEC

ChainCatcher news, according to Crowdfund Insider, U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce stated that certain token issuers need to come forward to engage in dialogue with the SEC. Peirce emphasized that tokenized securities are still securities, and market participants must consider and comply with existing securities regulations.

She mentioned that tokens that do not provide holders with legal and beneficial ownership of the underlying securities could be considered a "security-based swap" product, which retail investors cannot trade outside of exchanges. Peirce stated that the SEC is ready to work with market participants to develop appropriate exemptions and modernized rules.