DeFi Regulation: A Big Change is Coming!
Guess what? The White House is trying to change a rule that’s been giving the decentralized finance (DeFi) world a headache. This rule, which was approved late last year, wants software providers helping with DeFi transactions to act like brokers and collect lots of user data. Yikes!
What’s the Fuss About?
This rule, approved just before the new U.S. government started, wants DeFi projects to share detailed transaction info and collect user data, like names and what they’ve been up to. This has people worried about privacy and whether small DeFi businesses can handle all this extra work.
Why Don’t People Like This Rule?
The crypto world is not happy about this rule. They think it misunderstands how DeFi works and could stop new ideas from happening. Plus, asking for so much personal info is a big no-no for privacy lovers.
Can We Fix This?
Some smart people in Congress are trying to fix this. They’re using something called the Congressional Review Act (CRA) to try and get rid of this rule. If they succeed, the President might sign it into law, thanks to the White House’s support.
What Happens if the Rule Goes Away?
If this rule disappears, DeFi businesses in the U.S. won’t have to spend so much time on paperwork. They can focus on making cool new stuff instead! And, we won’t have to worry about sharing too much personal info.
Let’s Make DeFi Great Again!
The White House wants to change this rule, and that’s a big deal. If they succeed, it’ll be easier for DeFi to grow in the U.S. without worrying so much about privacy and all that extra work. Let’s hope the people in charge keep making smart choices for the future of DeFi!
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Sources:
– cointelegraph.com
– cryptobriefing.com
– chaincatcher.com