Hester Peirce, a commissioner at the SEC, emphasized the need for clarity in regulatory goals to differentiate between responsible and malicious actors.
Peirce highlighted the challenges posed by legal uncertainty, stating that vague rules create a favorable environment for bad actors while pushing honest participants away.
She has been a proponent of clear, innovation-friendly policies to support emerging technologies like cryptocurrency within the U.S. and prevent them from moving offshore.
Peirce's remarks come amid criticism of the SEC's regulatory approach, with calls for a balance that promotes innovation rather than stifling it in the fast-evolving crypto and fintech sectors.