Crypto Coalition Pushes SEC for DeFi Rules
Over 24 crypto firms led by DeFi Education Fund urge SEC to formalize DeFi guidance into rules, citing risks of future broker expansions chilling innovation.
SourceA coalition of more than two dozen crypto firms and advocacy groups, spearheaded by the DeFi Education Fund, demands the SEC convert its recent DeFi interfaces guidance into formal rulemaking to ensure long-term certainty in the crypto regulation landscape. This call follows the SEC’s Division of Trading and Markets staff guidance earlier this month, which indicated that non-custodial user interfaces like DeFi front ends and wallets might evade broker-dealer requirements. Without binding rules, the group warns, incoming SEC leadership could broaden the 'broker' definition to encompass software developers and infrastructure providers, potentially stifling crypto innovation and tools enhancing investor access—echoing concerns from SEC Commissioner Hester Peirce. This push aligns with broader DeFi regulation SEC debates, amid rising interest in assets like Bitcoin (BTC) and emerging protocols, highlighting the need for clear crypto advocacy groups strategies to avoid regulatory overreach in the evolving crypto market trends.
Eleanor Terrett
@EleanorTerrettBritish-born Fox Business journalist and producer, JMU graduate breaking news with a global perspective.