A draft of the US Senate Banking Committee's market structure bill is circulating, omitting sections on stablecoin yields but including ethical provisions related to bank jurisdiction, specifically addressing felony convictions and insider trading. Notably, Section 601 reflects a compromise between DeFi and traditional finance (TradFi) on protecting software developers. Insiders report that traditional finance entities, such as the Securities Industry and Financial Markets Association (SIFMA), were primarily concerned about DeFi protocols being used for regulatory arbitrage. Following tense closed-door meetings last week, an agreement was reached this week.
US Senate Banking Committee Draft Bill Circulates, Highlights DeFi and TradFi Compromise
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