Cardano founder Charles Hoskinson became the latest industry leader to criticize Senate Democrats’ leaked proposal to regulate decentralized finance.
In a YouTube livestream, Charles Hoskinson reviewed the proposed regulation’s articles. He used this opportunity to launch a broader, highly critical political critique, primarily aimed at the Democratic Party.
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Hoskinson Attacks Treasury’s Power to Blacklist DeFi Protocols
Adding significant weight to the industry’s opposition, Hoskinson detailed his issues with the Democratic proposal for decentralized finance (DeFi) in a livestream posted today.
The Cardano founder criticized several articles in the leaked document. He argued that if passed, the proposal would grant the US Treasury the power to create a restricted list of DeFi protocols with “no judge, jury, or appeals process.”
Hoskinson called attention to the Treasury and regulatory agencies’ overpowering discretion under this proposal. They would have the power to decide if a protocol is genuinely decentralized, with “no oversight.”
Hoskinson also criticized the removal of developer protections. According to the document, anyone designing, deploying, or operating a front-end service for a DeFi protocol may be classified as a regulated intermediary. He stated that this definition would effectively make every person building DeFi applications a “criminal.”
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Abandoning “The Little Guy”
Beyond his criticisms of the DeFi proposal, Hoskinson delivered a scathing criticism of the Democratic Party.
Hoskinson followed up by discussing what he considered to be a sense of hypocrisy within the Democratic Party regarding their past support for the “little guy.”
The Cardano founder continued by arguing that if the US criminalizes and drives out the crypto industry—which he projects to grow from a $4 trillion industry to a $10 trillion industry—it will hand this significant economic advantage to its global competitors.
Hoskinson concluded his livestream with a heated call to action. He urged listeners to write their senators and express their opposition.
Source: https://beincrypto.com/cardano-charles-hoskinson-democrat-criticism-defi-market-structure-bill/
