CryptoMediaClub
Monday, October 13, 2025
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis
No Result
View All Result
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis
No Result
View All Result
CryptoMediaClub
No Result
View All Result
Home Blockchain

Crypto Advocacy Bodies Criticize US Senate Bill’s Approach to DeFi Regulation

22.07.2023
A A
0
127
VIEWS
ShareShare

The proposed Crypto-Asset National Security Enhancement Act (CANSEE) bill introduced in the United States Senate on July 18 has faced strong opposition from crypto industry advocacy bodies, who argue that it takes a confused and unworkable approach to regulating the decentralized finance (DeFi) sector.

In separate statements on July 20, both the crypto think tank Coin Center and the crypto advocacy group, the Blockchain Association, expressed their concerns about the bill, referring to it as “messy,” “unworkable,” and even “unconstitutional” in its current form.

The main objective of the CANSEE bill is to address money laundering violations within the DeFi space. However, if passed, the legislation would extend new penalties to individuals who “control” or provide applications designed for transactions using a digital asset protocol. Such individuals would also be subject to anti-money laundering and financial reporting standards.

One of the key issues highlighted by critics is the ambiguity in the bill’s definition of who or what constitutes “control” over a DeFi protocol. The responsibility for making this determination is left to the U.S. Secretary of the Treasury, raising concerns that it may lead to excessive and arbitrary controls being imposed on DeFi platforms.

Coin Center’s blog post on July 20 pointed out that the bill grants the Secretary virtually unrestricted discretion in deciding what qualifies as “control” over a protocol. This level of discretion raises questions about its constitutionality, particularly as it could infringe upon the First Amendment rights of software developers to publish code freely.

The scope of the legislation also came under scrutiny, with critics arguing that DeFi, by design, is decentralized, making it challenging to enforce control over individual protocols. Coin Center highlighted the complexities of regulating a decentralized system, emphasizing that imposing strict controls could prove legally troublesome.

The CEO of the Blockchain Association, Kristin Smith, echoed Coin Center’s concerns and further criticized the bill for overstating the prevalence of money laundering in DeFi and the broader crypto space. According to Smith, illicit transactions accounted for only 0.24% of all digital asset transactions in 2022, significantly lower than traditional finance’s numbers. She suggested that existing federal law enforcement agencies already possess the necessary tools and expertise to address this relatively small issue effectively, making the new punitive measures in the bill redundant.

While crypto organizations contest the bill’s broad scope, an April 7 U.S. Treasury report indicated that some DeFi protocols are more centralized than claimed, with a few token holders controlling a considerable portion of funds and voting power.

As the debate continues, the crypto industry advocates urge for a more thoughtful and comprehensive approach to DeFi regulation that strikes a balance between addressing legitimate concerns and preserving the decentralized nature of these financial systems.

The post Crypto Advocacy Bodies Criticize US Senate Bill’s Approach to DeFi Regulation appeared first on BitcoinWorld.

Share10Tweet6ShareSharePin2

Related Posts

Ondo Finance Unleashes Revolutionary Tokenized US Treasuries on Sei
Blockchain

Ondo Finance Unleashes Revolutionary Tokenized US Treasuries on Sei

18.07.2025
0

Skip to content

Read moreDetails
Hashed stablecoin: South Korea’s Crypto Giant Unveils Bold Trademark Play

Hashed stablecoin: South Korea’s Crypto Giant Unveils Bold Trademark Play

17.07.2025
LA Token’s Strategic Move: Lagrange Foundation Considers Crucial Buyback for Price Stability

LA Token’s Strategic Move: Lagrange Foundation Considers Crucial Buyback for Price Stability

14.07.2025
Shocking Loss: Crypto Influencer Accidentally Burns $75K in PUMP Token

Shocking Loss: Crypto Influencer Accidentally Burns $75K in PUMP Token

14.07.2025
Dubai’s Historic Approval: Qatar National Bank Launches Revolutionary Tokenized Money Market Fund in DIFC

Dubai’s Historic Approval: Qatar National Bank Launches Revolutionary Tokenized Money Market Fund in DIFC

08.07.2025
Load More
Next Post

Tron (TRX) Soars 8% Daily While Bitcoin Flatlines at $30K (Market Watch)

0 0 votes
Рейтинг статьи
Subscribe
Notify of
guest
guest
0 комментариев
Oldest
Newest Most Voted
Inline Feedbacks
View all comments

Recommended

DeFi Ecosystem Saw Significant Growth of Restaking Sector

DeFi Ecosystem Saw Significant Growth of Restaking Sector

2 years ago
CoinsPaid Recognized as Leading Blockchain Company in Europe

CoinsPaid Recognized as Leading Blockchain Company in Europe

2 years ago
Stablecoin Growth to Drive the Subsequent Crypto Rally as Market Cap Hits $200B: CryptoQuant

Stablecoin Growth to Drive the Subsequent Crypto Rally as Market Cap Hits $200B: CryptoQuant

8 months ago
China’s crypto stance unchanged by moves in Hong Kong, says exec

China’s crypto stance unchanged by moves in Hong Kong, says exec

2 years ago

Categories

  • All news
  • Altcoins
  • Analysis
  • Bitcoin
  • Blockchain
  • Ethereum
  • NFT
No Result
View All Result

Highlights

Ethereum Price Prediction: Robert Kiyosaki Focuses on ETH and Silver – Is He Front-Running a Global Asset Devaluation?

XRP Price Prediction: – XRP Hasn’t Bottomed Until Bitcoin Stabilizes – Buy the Dip

Ethereum Price Prediction: Can ETH Reclaim $4,500 as Bitcoin Tests $112K Support?

Securitize Weighs $1B SPAC Merger With Cantor Fitzgerald-Backed Firm

Bitcoin Could Rebound 21% This Week as October Trends Favor Recovery, Economist Says

Why SpacePay (SPY) Presale Should Not Be Missed: The Most Anticipated Crypto Solutions Are Finally Here

Trending

Shiba Inu (SHIB) Loses Momentum, While This $0.035 DeFi Token Surges 250% and Attracts Over 16,800 Investors
All news

Shiba Inu (SHIB) Loses Momentum, While This $0.035 DeFi Token Surges 250% and Attracts Over 16,800 Investors

13.10.2025
0

The crypto market is known for dramatic rotations. Meme coins like Shiba Inu (SHIB) once dominated headlines...

Bitcoin Price Prediction:  What Onchain Signals Suggest for BTC Price Direction – Up or Down?

Bitcoin Price Prediction:  What Onchain Signals Suggest for BTC Price Direction – Up or Down?

12.10.2025
From gold bars to rare earths: Pentagon’s billion-dollar bet on America’s resource security

From gold bars to rare earths: Pentagon’s billion-dollar bet on America’s resource security

12.10.2025
Ethereum Price Prediction: Robert Kiyosaki Focuses on ETH and Silver – Is He Front-Running a Global Asset Devaluation?

Ethereum Price Prediction: Robert Kiyosaki Focuses on ETH and Silver – Is He Front-Running a Global Asset Devaluation?

12.10.2025
XRP Price Prediction: – XRP Hasn’t Bottomed Until Bitcoin Stabilizes – Buy the Dip

XRP Price Prediction: – XRP Hasn’t Bottomed Until Bitcoin Stabilizes – Buy the Dip

12.10.2025
  • All news
  • Altcoins
  • Bitcoin
  • Blockchain
  • Ethereum
  • NFT
  • Analysis
Editor: cryptomediaclub.com@gmail.com
Advertising: digestmediaholding@gmail.com

Disclaimer: Information found on CryptoMediaClub is those of writers quoted. It does not represent the opinions of CryptoMediaClub on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoMediaClub covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.

© 2023 Crypto News. All Rights Reserved

No Result
View All Result
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis

Disclaimer: Information found on CryptoMediaClub is those of writers quoted. It does not represent the opinions of CryptoMediaClub on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoMediaClub covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.

© 2023 Crypto News. All Rights Reserved

wpDiscuz