SEC Commissioner Hester Peirce Calls for Privacy-Focused Regulatory Approach

Outgoing SEC Commissioner Hester Peirce, known as "crypto mom," advocated for privacy-preserving technologies in a speech at the SIFMA Digital Assets Conference. Peirce criticized the current regulatory trend of excessive data collection through KYC and AML requirements, arguing that it creates security risks and fails to effectively combat crime. She proposed leveraging tools like zero-knowledge proofs and attribute-based credentials to verify user status without exposing sensitive personal information. Peirce also suggested that the SEC should allow firms to rely on identity checks performed by other regulated institutions to reduce redundant data storage.