U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce has expressed concern over the diminishing value of financial privacy within the country's regulatory framework. She spoke out against the skepticism surrounding privacy-enhancing technologies, labeling them a legitimate part of modern financial infrastructure. This is reported by Cointelegraph.com reports .
Speaking at a Georgetown Law event, Peirce emphasized that cryptographic tools are not solely linked to criminal activity. According to her, protecting financial privacy does not conflict with national security goals. While it is important for the government to have the authority to punish bad actors, citizens must also have the right to protect their personal and financial information.
The Commissioner added that privacy technologies help protect users from hackers and fraudsters. She urged developers to collaborate with the SEC’s Crypto Task Force, particularly on tools that comply with KYC (Know Your Customer) and AML (Anti-Money Laundering) requirements.
The issue of privacy remains a major point of contention between the crypto industry and regulators. While projects like Monero and Zcash focus on obscuring transaction data, regulators worry that these tools could be used for illicit finance. For example, in the European Union, new AML rules set to take effect in 2027 are expected to ban anonymous accounts and privacy-focused cryptocurrencies.
Nevertheless, interest in privacy-focused digital assets is growing. In particular, the significant rise in the price of Zcash over the past year demonstrates high demand for these technologies.
Read “Zamin” on Telegram!
