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Democrats Target Risky DeFi, Sparking Innovation Concerns

Published by
Sohrab Khawas

Several U.S. Democratic senators have introduced a proposal to tighten control over decentralized finance. The plan would allow the Treasury Department to label certain DeFi protocols as “high-risk” and add them to a restricted list, penalizing Americans earning income from them. It also proposes mandatory KYC checks on non-custodial wallet frontends and removes legal protections for crypto developers, signaling a tougher government stance on the DeFi sector.

Sohrab Khawas

Sohrab is a passionate cryptocurrency news writer with over five years of experience covering the industry. He keeps a keen interest in blockchain technology and its potential to revolutionize finance. Whether he's trading or writing, Sohrab always keeps his finger on the pulse of the crypto world, using his expertise to deliver informative and engaging articles that educate and inspire. When he's not analyzing the markets, Sohrab indulges in his hobbies of graphic design, minimal design or listening to his favorite hip-hop tunes.

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