SEC Commissioner Peirce Advocates for Crypto Privacy Rights and Open-Source Development

SEC Commissioner Hester Peirce has urged U.S. lawmakers to protect privacy rights in the cryptocurrency space and shield open-source developers from undue legal pressure. Her remarks come ahead of a pivotal verdict in the Tornado Cash co-founder's trial, which could set a precedent for how privacy-focused technologies are regulated.

Speaking at the Science of Blockchain Conference, Peirce emphasized the importance of preserving individuals' ability to transact privately and self-custody digital assets. She referenced a recent President’s Working Group recommendation supporting the right of citizens and businesses to use blockchain technologies for lawful purposes, including privacy-protecting tools.

The commissioner argued that immutable, open-source protocols cannot feasibly comply with financial surveillance measures, as they are designed for perpetual, unrestricted use. Her stance underscores the growing tension between regulatory oversight and the foundational principles of decentralization.