Peirce: SEC innovation exemption does not apply to DeFi
- —The exemption applies only to TSV and is temporary and conditional
- —Participating platforms are exempt from some registration requirements for 5 years
- —The SEC will not pre-determine participants as exchanges or dealers
- —DeFi systems with smart contracts do not fall under the exemption
Why it matters: Clarifying the exemption's boundaries reduces regulatory uncertainty for DeFi protocols and sets the framework for tokenized securities.
Source: Bloomingbit