US SEC Commissioner: Tokenized securities are essentially securities, and issuers must comply with the information disclosure obligations stipulated in the securities law

Planet Daily News: U.S. SEC Commissioner Hester Peirce today stated that tokenized securities are fundamentally still securities, and therefore market participants must fully consider and strictly comply with federal securities laws when trading such instruments. Tokenization of securities can be implemented by issuers themselves, such as industrial companies or investment firms tokenizing their shares; or it can be operated by custodial institutions holding third-party issued securities, which may issue tokens linked to their custodial securities or tokenize investors' "securities interests" in the custodian. Buyers of such third-party tokens may face unique counterparty risks and other special risks. Issuers of tokenized securities must fulfill information disclosure obligations specified by federal securities laws. Market participants should carefully assess the legal attributes of these securities and their corresponding regulatory requirements when distributing, purchasing, and trading tokenized securities. When designing tokenized product schemes, market participants are advised to proactively communicate with the SEC and its staff. When technical characteristics necessitate adjustments to existing rules, or regulatory requirements become outdated, the SEC is willing to work with the industry to develop reasonable exemption clauses and promote a regulatory framework that keeps pace with the times.