Author: SEC Commissioner Hister M. PEIRCE; Compilation: Deng Tong, Golden Finance

When I am still a child, our family will return from Ohio to Maine every year. It was a different era. If there is a problem with the car, you can call for help without a mobile phone. Paper maps and directions are written on paper, not mobile applications with step -by -step instructions. Forgot to book a hotel online; you just need to find a distant logo, and then stop to see if there is an empty house. There are no podcasts or audiobooks, and only a noisy radio strives to find the local radio station. My brothers and I did not watch videos on the screen on the back, but scanned the license plates of the passing vehicles, and "collected" the states in a highway travel game without technology. Today's road travel is very different. In most aspects, technology makes them a more interesting and smaller activity.

The newly announced encrypted working group [1] The beginning of the encrypted journey should also be more interesting and less risky than the committee to lead the industry in the past ten years. During the last journey, the committee refused to use its control tools and continued to step on the law enforcement brakes because it staggered on a winding road, and no one knew the destination. But as modern technology does not eliminate the risk of opening the road, there is still danger to this new journey leading to regulatory clarity. Both committees and the public need to be vigilant and realize the possible risks and opportunities. I am very happy to have an excellent team composed of talented SEC employees to accompany me to embark on the journey. We look forward to contacting many enthusiastic public members and they will help us move forward in this journey. With all these help, I hope that we can reach a better place than we imagine in our previous cryptocurrency journey. Before I discussed the hope and opportunities of the working group, let me put forward some important disclaimers.

First of all, although I am currently the heavy responsibility of leading SEC's new cryptocurrency working group, the views I express only represent my personal point of view as a member, and it does not mean that The point of view. The committee's position always requires the committee to vote.

Secondly, it took us a long time to fall into trouble, and it took some time to get rid of the predicament. For more than a decade, the committee has participated in the encryption industry in various forms. The first Bitcoin Exchange trading product application appeared in front of us in 2013. In the same year, the committee filed a fraud case related to encrypted elements. [2] In 2017, we released the report of Article 21 (a) of DAO, which reflects the first application of Hawawei's test in this context. [3] Since then, many law enforcement actions have been adopted, many letters that do not take action, and some exemption relief. In the speech and statement, they have endlessly talked about encryption. The international encryption working group discusses some aspects of encryption in the rules formulation proposal,Considering the issues related to encryption in the review of the registration statement and other documents, and approved the change of rules proposed by SROs to list the encryption exchange trading products. During this time, the committee's handling of cryptocurrencies has always been marked by legal rigorous and commercial unrealistic. Therefore, many cases are still in the litigation stage, many rules are still in the proposal stage, and many market participants are still uncertain. It will take time to determine how to solve all these problems, including the proceedings that are underway. This will involve the work of the entire institution and the cooperation with other regulators. Please wait. The working group hopes to achieve good results, but we need to do this in an orderly, practical and legal way.

Third, the working group hopes to go to a place where people can try and build interesting things freely, and it will not become a shelter for scammers. One of the reasons why the US capital market is so strong, efficient and effective is that we have formulated rules aimed at protecting investors and market integrity, and we implement these rules. We cannot tolerate the liar, scammers and scammers. While working hard to help formulate this regulatory framework, it will carefully consider anti -fraud protection measures. If the committee finds that fraud beyond our jurisdiction, it can submit it to the sisters regulatory agency. If it does not belong to the jurisdiction of any regulatory agency, the committee can notify the vulnerability to Congress.

Fourth, the working group is trying to help create a regulatory framework to achieve the important regulatory goals of the committee (including protecting investors), but also to maintain the industry's ability to provide products and services. The framework will be within the scope of the committee's legal power, and we will cooperate with other regulators operating within its legal scope. Existing regulations are not allowed to compete freely within our jurisdiction. Congress has developed parameters, and the committee will apply them. Congress also gives us exemption, and the committee will use it under appropriate circumstances. If the Congress instructed the committee to apply for market participants, the SEC rules will not allow you to do whatever you want anytime, anywhere. Some of these rules will bring costs and other compliance burdens. Some people may be annoyed by this. The committee will use its law enforcement tools to investigate violations when necessary.

Fifth, the staff of the committee is working hard to handle exemption relief applications, do not adopt a request request and registration statement, but the increase may bring challenges. Comply with technical and legal requirements, reasonable legal analysis, and comprehensive and timely responses to staff issues help save committees, and achieve clearer regulatory goals faster and more smoothly. As usual, this diligence will help apply for a smoother approval procedure; on the contrary, lack of diligence may lead to unnecessary delays. The first coming in does not mean the first.

Sixth, the new commitment to a better supervision environment should not be regarded as recognition of any cryptocurrency or token. Regardless of whether these tokens or tokens are within our jurisdiction, the committee will not recognize any products or services; There is no SEC approval seal. It is easy to issue tokens. If people want to buy tokens or products with lack of clear long -term value claims, they should buy freely, but if the price falls one day, they should not be surprised. Here, people usually have the right to make decisions for themselves, but corresponding to this beautiful American freedom is the same beautiful American expectations, that is, people must make their own decisions, instead of telling them what to do or what should not do what they should do. It is not expected to bift for them when they did something bad.

Now, after putting forward these quite rough statements, let's talk about the work of working groups in cooperation with the staff of the committees of the committee. We will cooperate with the federal, state securities regulatory agencies and international counterparts. We invite builders, enthusiasts, and skepticists to discuss what the final rules should be with us, and which temporary measures during this period may help promote innovation. The staff of the committee has realized a milestone -the "Staff Accounting Announcement 121" -but there are many jobs to do. [4] This list is not detailed, nor is it listed in the order of priority or expected.

Security state: The status of encrypted assets under securities law is the basis for solving many other problems. The working group is trying to study different types of crypto assets.

The scope definition: The working group will strive to help determine some areas that are not under the jurisdiction of the committee. As the first step, the staff welcome a request that does not adopt a mobile letter. Do not adopt a mobile letter usually appear in the form of a staff statement. According to the specific situation stated in the letter, the staff will not suggest to the committee to adopt law enforcement operations. The statement provides a useful window for the public to understand the ideas of staff.

tokens and tokens: The working group is still considering the possibility of the proposal committee to adopt action to provide temporary forward -looking and traceability relief for tokens or tokens. Other entities provide certain specific information to keep the information update and agree that they do not raise objections to the committee's jurisdiction when they occur in cases related to asset purchases and sale. These tokens will be regarded as non -securities, so as long as the information remains the latest and accurate, whether they can freely have uncertainty if they can freely trades in the secondary market registered in SEC. This method will make up for this gap until finally determine more permanent rules or legislation. It will provide a way for existing tokens, allowing them to go out of the uncertain fog that can go forward to the road and encourage more information disclosure.

Registration and distribution: The working group will consider cooperating with the staff. It is recommended that the committee amend the existing registration channels, including regulations A and crowdfunding so that people who are interested in registered tokens have a feasible way.

Special destination brokerage dealers: The working group will explore the possible update of the mobility statement for the special purpose broker dealers.unsuccessful. The preliminary changes we may suggest is to expand the statement to a brokerage dealer covering custody crypto asset securities and non -securities crypto assets. We will cooperate with the public to find other registered obstacles.

The hosting solution for investment consultants: We will cooperate with the investment consultant to provide an appropriate regulatory framework. The consultant can be safe, legal and practically or with third -party custody customer assets in the framework.

cryptocurrency lending and pledge: We need to clearly explain whether cryptocurrency lending and pledge plans are constrained by securities law, if so, how to restrict it. We plan to help solve how to make such plans in accordance with the law.

cryptocurrency exchanges trading products: The committee has received the rules changed by SRO to list new types of cryptocurrency exchange trading products. The working group will cooperate with the staff to provide a clear statement on the approval or rejecting methods used during the application. The working group will also assist the staff and committees to consider the requests to modify certain functions of the existing exchanges' transaction products, including allowing pledge and physical creation and redemption. However, before these changes are implemented, the committee may have to make progress on custody and other issues.

Clearance institution and transfer agent: The working group also plans to study the intersection of cryptocurrencies and liquidation agencies and transfer agency rules. We will continue to cooperate with the traditional financial market to achieve modern market participants with the use of blockchain technology to use blockchain technology.

Cross -border sandbox: Many cryptocurrency projects are international. The working group is considering how to promote cross -border trials within a limited scale and temporary time range, and may adopt more long -lasting and longer methods.

This brief overview of how the working group thinks of the future journey is not detailed or clear, but I hope it can attract your interest. Although we eventually formulate reasonable and clear rules, obstacles are heavy, but if we cooperate, this journey will be exciting and beneficial. This is the beginning of the dialogue -we don't want to talk to ourselves.

Quote

[1] press release, "SEC CRYPTO 2.0: Acting Chairman Uyeda announced the establishment of a new encryption working group", 2025 On January 21, https://www.sec.gov/newsroom/press-releases/2025-30.

[2] press release, "SEC accuses the Ponzi scams for the Texas men operating with Bitcoin", on July 23, 2013, https, HTTPS : //www.sec.gov/newsroom/press-releases/2013-132.

[3] The US Securities and Exchange Commission, based on the investigation report of Article 21 (a) of the Securities Trading Law in 1934: DAO," Trading Law "No. 81207 (July 25, 2017), https://www.sec.gov/files/litigation/investReport/34-81207.pdf. : //www.sec.gov/rules- regulations/staff-guidance/staff-accounting-bulletins/staff-acounting-bulletin-122.