Tokenization gets SEC backing as Hester Peirce calls for action
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US SEC Commissioner Hester Peirce revealed today that the commission is willing to engage with firms interested in tokenization. During a virtual address to the Digital Assets Summit in Singapore, she urged such firms to approach the regulator directly.
Peirce is a Republican Commissioner for the Securities and Exchange Commission known for her crypto-friendly stance. In August, she called for greater clarity in regulating digital assets. On Tuesday, September 30, she insisted that tokenization raises concerns about how blockchain-based securities interact with their traditional counterparts.
McKinsey analysis projects tokenized market at $2 trillion by 2030
Tokenized securities represent ownership in assets such as stocks or bonds issued in digital form on a blockchain network. They coexist alongside paper and electronic certificates and are being adopted by financial institutions seeking to enhance efficiency and liquidity.
According to RWA.xyz analysis, the tokenization market is valued at $31 billion, with $714 million in tokenized stocks. McKinsey analysis has projected that the figure could go up to $2 trillion by 2030 as adoption continues to expand across capital markets.
Hester Peirce, the SEC Commissioner, has made her latest comments, which build on her August remarks that the SEC was willing to work with people taking different approaches to tokenizing securities and real-world assets. She told Bloomberg Television that companies would still be required to disclose the nature of assets being tokenized.
“It