U.S. SEC commissioner: 'We welcome experiments in tokenized financial products…willing to work with asset managers'

The U.S. Securities and Exchange Commission (SEC) said it is leaving the door open to working with asset managers on tokenized financial products and new exchange-traded product (ETP) structures.

According to The Block on the 16th (local time), SEC Commissioner Hester Peirce said in a CNBC interview that companies seeking to test new financial products need to communicate proactively with regulators, adding that the agency is willing to run experiments together to gauge market demand.

She stressed, “Join the discussion with regulators and explain what kind of structure you are trying to build,” adding, “We want to work with you so we can determine whether the market wants the product.”

The remarks come as asset managers continue to push to incorporate crypto assets and blockchain-based securities into traditional financial product formats such as ETFs. The market is interpreting the comments as a signal that the SEC is showing some flexibility toward financial products tied to tokenized assets. However, whether a concrete regulatory framework is put in place is expected to be determined by future regulatory discussions and market response.