The SEC has drawn the line on tokenized securities.
Peirce stated that the proposed exemption applies only to digital versions of stocks that are already traded on secondary markets. She emphasized that these blockchain-based tokens must remain linked to the actual ownership of the underlying securities.
In a statement posted on the X platform, Peirce referred to certain parts of the public discussion as "overstated." She also directed observers to refer to an earlier statement released by the SEC in January, which distinguished tokenized securities from synthetic products.
The earlier guidance explained that tokenized securities must be tied to real financial assets, while synthetic instruments that only provide price exposure fall outside this framework.
Bloomberg's reporting has sparked speculation in the market.
However, Peirce directly addressed this speculation, emphasizing that the scope of the exemption remains limited. She added that synthetic products have never been included in the framework currently under review.
Meanwhile, the SEC is coordinating with the Commodity Futures Trading Commission to enhance regulation of digital assets. These discussions are part of broader regulatory efforts led by SEC Chairman Gary Gensler.
Tokenized ownership remains a core focus.
At the same time, synthetic platforms are facing stricter scrutiny as investors may not have direct ownership linked to the underlying stocks. Peirce stated that investors should avoid assuming final details before the SEC formally releases the exemption proposal.