DeFi and Eth2 are whole new convos for regulators, says SEC's Hester Peirce
United States SEC Commissioner Hester Peirce wants to focus on new guidance for DeFi and future Ethereum projects.
Hester Peirce, commissioner for the United States Securities and Exchange Commission, explained during an exclusive interview with Cointelegraph that decentralized finance, also known as DeFi, has created new challenges for the SEC.
Peirce, nicknamed “Crypto Mom” for her interest in digital-asset innovation, mentioned that the quickly rising DeFi sector has resulted in a number of unresolved legal issues:
Although Peirce shared that regulations around DeFi projects may fall outside of the SEC’s purview, some of these projects will likely touch on securities laws. To Peirce’s point, John Whelan — managing director of Santander Bank and chair of the Enterprise Ethereum Alliance — told Cointelegraph that from a financial perspective, DeFi has the potential to enable autonomous programmable digital securities in the future.
However, this remains a long-term goal, as most DeFi offerings consist of tokens that lack liquidity and are used to fund blockchain projects. Still, Peirce advised caution to those involved in the DeFi space. During a fireside chat with Whelan for the "Ethereum in the Enterprise — Asia Pacific" online conference, Peirce mentioned that the crypto community must be cautious when building DeFi projects
More:here (https://cointelegraph.com/news/defi-and-eth-2-0-are-whole-new-convos-for-regulators-says-sec-s-hester-peirce)