$ETH The recent SEC Crypto Roundtable signals a crucial shift! 🏛️ SEC Chair Atkins' remarks, emphasizing that "engineers shouldn't be held liable for how others use their code" and Commissioner Peirce's stance on code as protected speech, are incredibly positive for DeFi innovation. 🚀

This suggests a move towards protecting DeFi developers more like open-source builders. Holding them accountable like financial intermediaries for decentralized protocols they don't control could stifle innovation severely.

Imagine blaming a compiler developer for how someone uses the code they wrote! 😵

As finance becomes increasingly code-driven, regulations must evolve to be principles-based and technology-agnostic. Instead of focusing on centralized entities, the focus should shift to the functions being performed and the risks involved.

An "innovation exemption" framework, as proposed by Atkins, could be a great step to allow new on-chain products to flourish while the long-term regulatory landscape takes shape. It's about finding a balance between fostering growth and ensuring consumer protection. ⚖️