Ethereum DeFi Leaders Form Advocacy Alliance to Balance Centralized Influence in US Policy

• Ethereum Protocol Advocacy Alliance counters centralized influence in US policy.

• EPAA includes key DeFi players like Aave Labs, Uniswap Foundation, and Lido Labs Foundation for coordinated advocacy.

• The alliance manages over $100 billion in non-custodial assets, emphasizing technical expertise in regulatory discussions, as per OpenSecrets data on lobbying spends.

Ethereum Protocol Advocacy Alliance (EPAA) launches to balance DeFi voices in US crypto policy. Join the push for fair onchain regulations—explore how this alliance shapes the future of decentralized finance today.

What is the Ethereum Protocol Advocacy Alliance?

The Ethereum Protocol Advocacy Alliance (EPAA) is a coalition of leading Ethereum-based decentralized finance (DeFi) protocols formed to advocate for balanced policymaking in the cryptocurrency space. Announced on Tuesday, the EPAA aims to educate lawmakers on the principles of onchain infrastructure and counteract the perceived outsized influence of centralized entities. By pooling technical expertise, the alliance seeks to ensure that decentralized technologies are properly understood and integrated into regulatory frameworks.

Major Ethereum stakeholders, including Aave Labs, Aragon, Curve, Lido Labs Foundation, Spark Foundation, The Graph Foundation, and the Uniswap Foundation, have united under the EPAA banner. This group represents protocols that collectively secure more than $100 billion in assets through open, non-custodial systems that eliminate the need for intermediaries. The Ethereum Foundation has endorsed this initiative, with co-executive director Tomasz K. Stańczak highlighting its role in fostering “community-led coordination on advocacy.”

The formation of the EPAA comes at a pivotal time for the Ethereum ecosystem, which continues to expand amid evolving regulatory landscapes. By focusing on pragmatic technical experiences, the alliance positions itself as a key player in shaping policies that support decentralized innovation. This effort underscores the growing maturity of Ethereum’s DeFi sector, where protocols are not just building financial tools but also actively engaging in governance discussions.

The EPAA’s mission extends beyond mere opposition; it emphasizes proactive education and collaboration. Members draw on their deep involvement in onchain development to provide policymakers with clear, actionable insights. This approach aims to bridge the gap between complex blockchain technologies and regulatory needs, ensuring that DeFi’s benefits—such as transparency and accessibility—are highlighted in policy debates.

Why was the Ethereum Protocol Advocacy Alliance formed?

The EPAA emerged to address an imbalance in crypto policymaking, where centralized firms have exerted significant influence, often sidelining the nuances of decentralized protocols. As noted in the alliance’s announcement, this “outsized influence” has led to misunderstandings of onchain infrastructure, prompting DeFi leaders to organize for a more equitable voice. Data from OpenSecrets reveals that major political action committees, such as Fairshake—backed by entities like a16z, Coinbase, and Ripple—raised $260 million and spent $195.8 million in the previous US election cycle on lobbying efforts.

In contrast, the EPAA’s strategy is rooted in technical pragmatism rather than financial firepower alone. The alliance plans to engage policymakers through four core methods: offering expert technical input, creating accessible resources to demystify blockchain concepts, coordinating outreach to amplify messages, and identifying shared interests in regulatory challenges. Experts in the field, including representatives from member foundations, stress that this coordinated approach will help demonstrate the real-world value of DeFi protocols.

Supporting this, the Ethereum Foundation’s involvement adds credibility, as Stańczak emphasized the need for community-driven advocacy. Recent developments in the ecosystem, such as the revamped grants program by the Ethereum Foundation for more targeted funding and the launch of institutions.ethereum.org to onboard institutional players, align with the EPAA’s goals. These initiatives reflect Ethereum’s broader push for improved communication, branding, and coordination, which the alliance builds upon to influence policy effectively.

The EPAA’s formation also highlights a shift in how DeFi protocols view regulation—not as a threat, but as an opportunity for constructive dialogue. By focusing on education, the group aims to prevent policies that could inadvertently favor centralized models over decentralized ones. This detailed engagement strategy, backed by the collective experience of protocols managing vast asset volumes, positions the EPAA as a formidable advocate for Ethereum’s future.

Frequently Asked Questions

What protocols are members of the Ethereum Protocol Advocacy Alliance?

The Ethereum Protocol Advocacy Alliance includes prominent DeFi entities such as Aave Labs, Aragon, Curve, Lido Labs Foundation, Spark Foundation, The Graph Foundation, and the Uniswap Foundation. These members collectively secure over $100 billion in assets via open protocols, focusing on advocacy for decentralized solutions in US policymaking.

How will the Ethereum Protocol Advocacy Alliance influence crypto regulations?

The EPAA plans to influence crypto regulations by providing technical expertise to lawmakers, developing clear educational resources on blockchain technologies, coordinating joint outreach efforts, and highlighting areas where onchain solutions can address policy needs. This community-led approach, supported by the Ethereum Foundation, ensures decentralized voices are heard in shaping fair regulations for the ecosystem.

Key Takeaways

• EPA Alliance Formation: Major DeFi protocols on Ethereum have launched the EPAA to balance centralized influence in US crypto policy, emphasizing education and technical advocacy.
• Member Strength: Backed by entities like Uniswap and Aave securing $100 billion in assets, the alliance leverages deep ecosystem expertise for impactful lobbying.
• Strategic Engagement: Through resource creation and coordinated efforts, the EPAA aims to integrate onchain innovations into regulatory frameworks, fostering long-term growth for Ethereum.

Conclusion

The Ethereum Protocol Advocacy Alliance marks a significant step for DeFi in advocating for balanced Ethereum Protocol Advocacy Alliance influences amid centralized dominance in US policymaking. By uniting key players like Aave and Uniswap, and drawing on EPAA DeFi lobbying strategies, it ensures onchain technologies are accurately represented. As Ethereum’s ecosystem evolves with initiatives like enhanced grants and institutional onboarding, the EPAA paves the way for policies that support decentralized innovation—stakeholders should monitor its progress for opportunities to engage in this vital dialogue.