{"id":57216,"date":"2025-08-06T06:02:39","date_gmt":"2025-08-06T06:02:39","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/secs-hester-peirce-warns-against-overregulating-decentralized-crypto\/"},"modified":"2025-08-06T06:02:39","modified_gmt":"2025-08-06T06:02:39","slug":"secs-hester-peirce-warns-against-overregulating-decentralized-crypto","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/secs-hester-peirce-warns-against-overregulating-decentralized-crypto\/","title":{"rendered":"SEC\u2019s Hester Peirce Warns Against Overregulating Decentralized Crypto"},"content":{"rendered":"<p><b>(Originally posted on : Crypto News &#8211; iGaming.org )<\/b><br \/>\n<\/p>\n<div>\n<p>Speaking at the Science of Blockchain Conference in Washington D.C. on August 4, U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce delivered a strong defense of financial privacy and decentralized technologies, warning against overreaching regulation that could stifle innovation and individual freedoms.<\/p>\n<hr\/>\n<p><em><strong>Good to know<\/strong><\/em><\/p>\n<ul>\n<li><em><strong>Peirce criticized existing surveillance laws like the Bank Secrecy Act, calling them outdated and incompatible with decentralized systems.<\/strong><\/em><\/li>\n<li><em><strong>She called for protecting privacy tools such as zero-knowledge proofs and DeFi protocols.<\/strong><\/em><\/li>\n<li><em><strong>Peirce argued that financial privacy is a constitutional right, not a threat to law enforcement.<\/strong><\/em><\/li>\n<\/ul>\n<hr\/>\n<p>Peirce\u2019s comments took direct aim at the growing trend of regulatory efforts seeking to force decentralized crypto platforms into roles more akin to traditional financial institutions. She warned that requiring developers or users in permissionless networks to collect data or report transactions risks undermining the very nature of what makes blockchain revolutionary.<\/p>\n<blockquote>\n<p>We should take concrete steps to protect people\u2019s ability not only to communicate privately, but to transfer value privately, as they could have done with physical coins in the days in which the Fourth Amendment was crafted.<\/p>\n<\/blockquote>\n<p>She emphasized that crypto\u2019s open systems empower users to control their own financial activity without relying on centralized third parties that are legally obligated to surveil them.<\/p>\n<div class=\"main-org-3-item-ins box-100 relative mb-4\">\n<div class=\"space-org-3-items box-100 relative\">\n<div class=\"box-100 space-org-3-item relative border-tb mt-1 \">\n<div class=\"space-org-3-item-ins box-100 relative\">\n<div class=\"space-org-3-item-terms box-25 relative\">\n<div class=\"space-org-3-item-terms-ins box-100 text-center relative\"> <strong><strong>Get 125% \/ $2,500 on 1st deposit!<\/strong><\/strong> <\/p>\n<p>New players only. Exclusive Welcome Bonus of up to $2,500<\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<h2>A Critique of the Bank Secrecy Act<\/h2>\n<p>Peirce singled out the Bank Secrecy Act (BSA) for turning banks into surveillance arms of the government. She challenged proposals that seek to impose similar expectations on decentralized technologies, calling the idea not only impractical but incompatible with the structure of blockchain networks.<\/p>\n<p>She argued that applying such laws to decentralized code or peer participants fundamentally changes how these technologies work\u2014and violates the intent behind them.<\/p>\n<h2>Privacy as a Right, Not a Loophole<\/h2>\n<p>Peirce closed her speech with a call to preserve financial privacy as a basic right that can exist alongside efforts to maintain national security and combat crime. She said:<\/p>\n<p><em>\u201cDenying people financial privacy\u2014whether through sweeping surveillance programs or restrictions on privacy-protecting technologies\u2014undermines the fabric and freedoms of our families, communities, and nation.\u201d<\/em><\/p>\n<div class=\"main-org-3-item-ins box-100 relative mb-4\">\n<div class=\"space-org-3-items box-100 relative\">\n<div class=\"box-100 space-org-3-item relative border-tb mt-1 \">\n<div class=\"space-org-3-item-ins box-100 relative\">\n<div class=\"space-org-3-item-terms box-25 relative\">\n<div class=\"space-org-3-item-terms-ins box-100 text-center relative\"> <strong>5BTC or 111% + 111 Free Spins!<\/strong> <\/p>\n<p>New players only. Exclusive 111% Welcome Bonus + 111 Free Spins<\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p>She urged policymakers to recognize privacy-preserving tools not as obstacles, but as critical infrastructure for digital freedom in the 21st century.<\/p>\n<p>While regulators often cite money laundering concerns, Peirce emphasized that well-crafted laws can strike a balance\u2014one that respects individual liberty while also protecting against abuse.<\/p>\n<\/p><\/div>\n<p><a href=\"https:\/\/igaming.org\/crypto\/sec-commissioner-hester-peirce-defends-crypto-privacy-and-decentralization\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : Crypto News &#8211; iGaming.org ) Speaking at the Science of Blockchain Conference in Washington D.C. on August 4, U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce delivered a strong defense of financial privacy and decentralized technologies, warning against overreaching regulation that could stifle innovation and individual freedoms. Good to know [&hellip;]<\/p>\n","protected":false},"author":44,"featured_media":57217,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[34],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/57216"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=57216"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/57216\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/57217"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=57216"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=57216"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=57216"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}