FTX founder and CEO Sam Bankman-Fried warned politicians against passing laws that could negatively impact decentralized finance.
According to Sam Bankman-Fried, the first step is to understand how decentralized finance (DeFi) and related products and services fit or don’t fit into the law:
“While there is no clear answer to these questions, we must be careful with our decision-making when developing laws to regulate this sector of digital assets.”
Bankman-Fried hopes the industry group will look into the issues mentioned in his guidance and eventually “publish an appropriate set of rules and regulations for the DeFi and crypto community.” The businessman reminded lawmakers of the potential of cryptocurrencies to improve traditional financial markets:
“Share tokenization can help simplify the settlement of securities while providing a stronger and fairer market structure for retail.”
The head of the FTX exchange issued his statement after US lawmakers took up amendments to a bill that supports the DeFi community, developed by Michigan Democrat Debbie Stabenow and Arkansas Republican John Boozman.
FTX is now facing scrutiny from regulators as to how well it complies with financial laws. Recently, a spokesman for the Texas Securities Board (TSSB) revealed that he opened a deposit on FTX.US as a US citizen. However, according to the securities law, the exchange did not have the right to service it.
Source: Bits
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