SEC Chair Supports 'Minimum Viable Disclosure' and Targeted Tokenization Pilots

U.S. Securities and Exchange Commission (SEC) Chair Hester Peirce recently publicly stated her support for adopting a 'minimum viable disclosure' principle and encouraging pilot programs for tokenization projects in specific areas. This statement has sparked widespread attention within the industry regarding potential adjustments to regulatory policies.

Peirce believes that the SEC relies excessively on 'comply or explain' disclosure requirements in corporate governance. She criticized this practice as a form of 'regulation by shaming,' using public pressure to force companies to adopt SEC-preferred corporate governance models rather than directly stipulating them through law. She emphasized that decisions regarding board structure, environmental, social, and governance (ESG) metrics, and other related governance issues should be in the hands of shareholders and directors, and should not be indirectly interfered with through the threat of disclosure.

At the same time, the SEC has given the green light to targeted tokenization exemptions. This means that, under certain conditions, some tokenization projects may receive certain regulatory exemptions, thereby reducing compliance costs and encouraging innovation. In conclusion, the SEC Chair's latest statement suggests that future regulatory direction may focus more on practicality and flexibility, while protecting investor interests and leaving room for innovative applications of blockchain technology.