SEC Commissioner: Tokenized securities are essentially still securities, and issuers must comply with the information disclosure obligations stipulated by securities laws.

U.S. SEC Commissioner Hester Peirce issued an article today stating that tokenized securities are essentially still securities. Therefore, market participants must fully consider and strictly abide by federal securities regulations when trading such instruments.
Securities tokenization can be implemented by issuers themselves. For example, industrial companies or investment companies can tokenize their shares. It can also be operated by custodians holding securities issued by third parties. These institutions may issue tokens linked to their custodial securities, or tokenize investors' "securities entitlements" to the custodian. Purchasers of such third-party tokens may face unique risks such as counterparty risk.
Issuers of tokenized securities must fulfill the information disclosure obligations stipulated by federal securities laws. Market participants should more carefully assess the legal attributes of these securities and their corresponding regulatory requirements when distributing, purchasing, and trading tokenized securities.
When designing tokenized product solutions, market participants are advised to proactively communicate with the SEC and its staff. When technical characteristics require adjustments to current rules, or regulatory requirements are outdated, the SEC is willing to work with the industry to develop reasonable exemptions to promote the evolution of the regulatory framework. [Odaily Planet Daily]