SEC Commissioner Hester Peirce Responds to UK Central Bank's Digital Securities Sandbox Consultation

According to Odaily, Hester Peirce, a commissioner at the U.S. Securities and Exchange Commission (SEC), has responded to a consultation document related to the digital securities sandbox of the UK Central Bank. In her response, Peirce expressed her preference for being a 'beach-type regulator' rather than a 'sandbox-type regulator'. She suggested that cross-border sandboxes should allow companies in the UK and the US to conduct the same sandbox activities under the same regulatory requirements. The experiments could focus on how tokenization can further market transparency, asset diversification, address the lack of interoperability between different blockchains and tokens, cybersecurity risks, privacy issues, decentralized property ownership, and any unique challenges brought by the cross-border nature of blockchain. As a regulator, the focus is not on proposing ideas on how innovation can improve financial markets, but on ensuring that innovators can put their ideas into practice.