Finance News

Story: Blockchain Association Takes Aim at Citadel Over SEC’s DeFi Double Standard

By Julie Binoche

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Citadel Stays Silent on DeFi Challenge. Citadel Securities hasn't responded to the association's letter yet.

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DeFi Market Explodes Despite Regulatory Fog. Industry insiders have been saying for months that the SEC's existing guidelines were designed…

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The Blockchain Association fired off a letter Monday targeting Citadel Securities over how the SEC treats decentralized finance protocols compared to traditional Wall Street…

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The association's beef centers on what they see as a rigged system where legacy financial institutions get regulatory breaks that DeFi protocols can't access.

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Smith didn't mince words. "It's about leveling the playing field."

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Citadel Securities hasn't responded to the association's letter yet. The market-making giant has consistently pushed for regulations that "ensure market stability and protect…

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But critics say that's rich coming from a firm that benefits big-time from current regulations favoring established players over newer, decentralized competitors.

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The timing of the association's letter isn't random. On March 28, the SEC announced plans to review its regulatory framework - a move many see as a response to mounting pressure…

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Industry insiders have been saying for months that the SEC's existing guidelines were designed with conventional financial models in mind.

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The DeFi sector keeps growing like crazy despite all the regulatory uncertainty. According to DeFi Pulse data, the total value locked in DeFi protocols hit $70 billion as of…

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Growth underscores the urgency for clear rules. More investors and developers enter the space every day seeking clarity on compliance requirements, but they're basically flying…

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The SEC's decision on whether to change its policies remains up in the air. Until a formal response gets issued, both DeFi advocates and traditional financial entities like…

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Smith recently doubled down on the Blockchain Association's commitment to advocating for fair treatment of DeFi protocols.

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On April 3, SEC Chair Gary Gensler addressed a separate event where he briefly mentioned the importance of adapting regulatory approaches to new financial technologies.

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The ongoing back-and-forth between the Blockchain Association and the SEC has caught the attention of other industry groups too.

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