SEC Commissioner Hester Peirce calls for simplifying information disclosure rules to promote an exemption mechanism for tokenized securities innovation

According to Cointelegraph, Hester Peirce, a commissioner of the U.S. Securities and Exchange Commission (SEC), delivered a speech at the SEC Investor Advisory Committee on Thursday, calling for regulators to simplify the disclosure requirements for public companies and to promote innovative exemption mechanisms for tokenized securities.

Peirce pointed out that public companies spend a significant amount of resources preparing mandatory disclosure documents, but the related content often fails to effectively enhance the quality of information available to investors, and may instead lead to information obfuscation. She believes that regulators should avoid excessive intervention in the market.

On the topic of tokenized securities, Peirce stated that SEC staff are continuing to advance research on potential innovative exemption mechanisms to allow for limited experimental exploration of tokenized securities during the assessment period under the current securities law framework. She also noted that blockchain systems are expected to enable faster settlements and reduce reliance on traditional intermediaries in certain scenarios.