What a16z is focusing on this time isn’t a certain token price, but how a DEX can be “seen” by the SEC.
PANews, citing The Defiant, reports that Andreessen Horowitz (a16z) and the DeFi Education Fund have jointly submitted a proposal to SEC Commissioner Hester Peirce. The proposal suggests using a “safe harbor” mechanism to presumptively treat decentralized exchange protocols and their front ends—which meet conditions such as non-custodial, automated, permissionless, and “trusted neutrality”—as not being “exchanges” under the Securities Exchange Act. On the same day, a16z also proposed that the SEC establish a registration regime for centralized crypto trading platforms by referring to the 1998 Reg ATS.
If the SEC adopts the proposal, DEX software, front ends, and intermediary-style trading platforms would be regulated more clearly as separate categories, and compliance uncertainty may decrease. If it doesn’t, controversy will likely continue over the question of where the boundary is drawn. Are you more concerned about a DEX safe harbor, or about a dedicated registration framework for CEXs?
Image 1: a16z proposes a safe harbor for DEXs · Source page partial screenshot
Image source: https://www.panewslab.com/zh/articles/01a0cbcf-cc9d-7726-96cd-c111dfb576d3
PANews, citing The Defiant, reports that Andreessen Horowitz (a16z) and the DeFi Education Fund have jointly submitted a proposal to SEC Commissioner Hester Peirce. The proposal suggests using a “safe harbor” mechanism to presumptively treat decentralized exchange protocols and their front ends—which meet conditions such as non-custodial, automated, permissionless, and “trusted neutrality”—as not being “exchanges” under the Securities Exchange Act. On the same day, a16z also proposed that the SEC establish a registration regime for centralized crypto trading platforms by referring to the 1998 Reg ATS.
If the SEC adopts the proposal, DEX software, front ends, and intermediary-style trading platforms would be regulated more clearly as separate categories, and compliance uncertainty may decrease. If it doesn’t, controversy will likely continue over the question of where the boundary is drawn. Are you more concerned about a DEX safe harbor, or about a dedicated registration framework for CEXs?
Image 1: a16z proposes a safe harbor for DEXs · Source page partial screenshot
Image source: https://www.panewslab.com/zh/articles/01a0cbcf-cc9d-7726-96cd-c111dfb576d3
