Hester Pierce, Commissioner for the US Securities and Exchange Commission, known as “Crypto Mom,” said the regulator’s more conservative approach to crypto must change as people become more interested in space.
Peirce commented that the crypto landscape is changing rapidly, and although they have been slow to provide guidance, there is growing interest from a wide variety of people. They are both in the crypto space and traditional financial institutions, asking for advice. She expresses that the SEC will be forced to do it more and more in the coming year.
Back in SEC
With this in mind, Pierce wants to return to her full-time position with the SEC to help regulators become more open to innovation. She admitted that the Securities and Exchange Commission was more conservative. She hopes that KPPU will be more innovative and provide the necessary direction to “encourage innovation and entrepreneurship”.
Pierce begins her second term as Commissioner for the Securities and Exchange Commission in August. Her position was vacant from 2015 until her appointment in January 2018, which shortened his first term. Their second term of office runs until 2025.
For DeFi, Pierce says it’s a more elaborate room. She noted that smart contracts had played a kind of regulatory role at DeFi from the start. Therefore, agencies such as the SEC are discussing where they are best suited for this environment.
The SEC has stated that they have to think about what they can offer her as a regulator, as they need to play a specific role.
They have declared that this is a conversation that they need to hold. It will not only constitute its issues but also consider DeFi as a whole. The community has to think about issues like this. Congress needs to think about these issues so that the SEC can get guidance on how they want them to deal with some of this stuff.
Pierce View on Digital Dollars
Pierce spoke about the digital dollar during a previous live stream. She said the topic had sparked more interest in cryptocurrencies, and more people are now asking questions about it. She noted that it is helpful for people to think about public issuance’s pros and cons versus privately issued currency.
However, the Commissioner warned that you have to think about data protection when creating a digital currency. It is a fundamental question that people need to ask because people have an issue that the government will monitor transactions.
The Federal Reserve is considering the prospect of issuing digital dollars, in particular, to compete with the scale of the Facebook cryptocurrency and the digitalize currency of China’s central bank. However, Fed Chair Jerome Powell has repeatedly stated that the Fed is currently not interested in issuing digital dollars.