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SEC’s Peirce warns crypto vault builders about potential securities issues
Peirce said that onchain vaults and lending could fall under SEC oversight depending on how the products are structured.
The Block reports that SEC Commissioner Hester Peirce, in a recent statement, warned crypto vault and related lending builders that their products may face securities law scrutiny.
Peirce’s comments focused on how onchain vaults and lending arrangements could be interpreted as falling under the SEC’s authority, depending on the structure of the offering.
The outlet said Peirce also clarified her position to highlight that projects cannot assume the products are outside federal securities oversight.
The statement was framed as a caution to developers building crypto vaults, warning that compliance risk could result in significant legal consequences.