Hester Peirce is fueling a regulatory clash inside the SEC after new guidance on crypto interfaces raised fresh questions about whether wallets and front-end tools should be treated as broker-dealers.

The pro-crypto SEC commissioner urges public comments to help refine regulations, aiming to preserve innovation in user tools for self-custody and blockchain interactions without overly broad securities law interpretations.

The SEC Division of Trading and Markets has released interim guidance addressing how broker-dealer rules apply to crypto user interfaces.

The statement focuses on “covered user interfaces” used to prepare and transmit blockchain-based transactions.

Under the framework, certain wallet-connected…