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SEC’s Hester Peirce: “Tokenized Securities Are Still Securities”
U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce, often referred to as the agency’s “Crypto Mom”, has reaffirmed the regulator’s stance that tokenized versions of traditional securities remain subject to existing securities laws — regardless of the underlying technology.
SEC Warns Market Participants on Tokenized Offerings
In a statement released Wednesday, Peirce urged companies exploring tokenized financial products to engage directly with the SEC. Her remarks come amid a wave of innovation from both crypto-native firms and traditional financial institutions experimenting with on-chain tokenization.
“As powerful as blockchain technology is, it does not have magical abilities to transform the nature of the underlying asset,”
— Hester Peirce, SEC Commissioner
She warned that firms distributing tokenized stocks, bonds, or other instruments must still comply with the federal securities laws.
Robinhood and the Tokenization Wave
Though Peirce did not name specific companies, her comments closely follow Robinhood’s recent launch of a tokenization-focused Layer-2 blockchain, aimed at offering tokenized U.S. stocks and ETFs to investors in Europe.
Robinhood has also reportedly submitted a proposal to the SEC in May 2025, seeking a regulatory framework for tokenized real-world assets (RWAs). The move suggests a growing recognition among industry players of the legal complexities surrounding tokenized finance.
A Call for Engagement and Flexibility
Peirce emphasized that the Commission is open to innovation — if market participants proactively engage and work within legal boundaries.
“When unique aspects of a technology warrant changes to existing rules or where regulatory requirements are outdated or unnecessary, we stand ready to work with market participants to craft appropriate exemptions and modernize rules,”
— Hester Peirce
Her comments echo those made frequently by former SEC Chair Gary Gensler, who often urged crypto firms to “come in and talk.” But this statement comes at a time when the regulatory climate is beginning to shift under the leadership of new Chair Paul Atkins and the Trump administration’s broader support for digital assets.
Awaiting Clarity from Congress
Peirce’s statement also arrives as Congress prepares to vote on the Digital Asset Market Clarity Act — a long-awaited legislative framework that aims to define regulatory roles for the SEC and the Commodity Futures Trading Commission (CFTC).
If passed, the bill could:
- Clarify oversight responsibilities for digital assets
- Provide legal certainty for tokenized securities and commodities
- Accelerate institutional adoption of real-world asset tokenization
Conclusion: Tech Innovation Still Requires Legal Caution
While blockchain and tokenization are transforming finance, the SEC’s message remains consistent: the medium does not change the law.
Hester Peirce’s latest comments serve as both a warning and an invitation: innovation is welcome, but compliance with securities law is non-negotiable.
@ Newshounds News™
Source: Cointelegraph
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DLT Platform Hedera Joins Project Acacia to Advance Digital Finance in Australia
In a major step toward building Australia’s next-generation financial infrastructure, Hedera has officially joined Project Acacia, a collaborative initiative led by the Reserve Bank of Australia (RBA) and the Digital Finance Cooperative Research Centre (DFCRC). The project is designed to explore digital money, tokenized assets, and real-world financial use cases powered by distributed ledger technology (DLT).
Hedera Brings Hashgraph Efficiency to Australian Digital Finance
On July 10, Hedera was formally included in the Acacia initiative, where it will contribute its Hashgraph-based DLT—known for high-speed, secure, and low-cost transactions—to a suite of pilot programs. These programs aim to test wholesale tokenized assets, improve settlement efficiency, and reduce systemic risks in Australia’s financial sector.
“Project Acacia will allow industries and regulators to work together to reshape the financial services industry while boosting efficiency and fostering economic growth,”
— Reserve Bank of Australia
The project’s focus includes evaluating how DLT can enhance transparency and innovation in wholesale banking and cross-border settlement systems, aligning with broader governmental goals for economic modernization.
Multiple Blockchain Platforms Join the Mission
Hedera is not alone in this national initiative. Other prominent DLT platforms selected for Project Acacia include:
- Redbelly Network – Focused on compliant tokenization of real-world assets.
- R3 Corda – Specializing in asset and currency tokenization across regulated financial markets.
- Canvas Connect – A zero-knowledge layer-2 solution prioritizing privacy and financial interoperability.
- EVM-compatible networks – Supporting Ethereum-based smart contracts, ideal for programmable finance.
Together, these platforms will test various CBDC scenarios, settlement models, and tokenized asset flows to evaluate their integration with Australia’s traditional banking infrastructure.
Australia Positions Itself as a Global DLT Leader
By anchoring Hedera and other advanced blockchain platforms into its national pilot program, Australia is signaling a serious commitment to technological innovation in finance. The effort also aligns with broader global trends toward central bank digital currencies (CBDCs) and the tokenization of real-world assets (RWAs).
The Australian Securities and Investments Commission (ASIC) emphasized the importance of this research in tackling regulatory risks and identifying growth opportunities within the digital asset economy.
Final Thought
As countries around the world race to define their roles in the digital asset revolution, Australia’s Project Acacia—now strengthened by Hedera’s participation—could serve as a model for collaborative innovation between governments, regulators, and the blockchain industry.
If successful, it may mark the beginning of a fully tokenized financial ecosystem, with Australia at the forefront.
@ Newshounds News™
Source: Coinpedia
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