SEC's Hester Peirce Proposes US-UK Digital Securities Micro-Innovation Sandbox

May 30, 2024, 03:33 PM

SEC Commissioner Hester Peirce has announced a proposal for a joint US/UK 'digital securities sandbox' that would allow companies in both jurisdictions to experiment with blockchain technology for trading securities without fear of regulatory action. The sandbox aims to enhance market transparency and innovation by providing a safe harbor for firms to conduct limited business activities under the same regulatory requirements in both the United States and the United Kingdom. This initiative includes a 'micro-innovation sandbox' for U.S. companies and comes amid criticism of the SEC's approach to the blockchain and digital asset industry, with some industry advocates accusing the SEC of overreach.