PANews reported on November 19 that Winternute, in its latest comment letter to the SEC's Crypto Assets Task Force, clearly stated two main arguments: 1. Allowing Self-Management of On-Chain Settlement Processes: Wintermute is urging the SEC to clarify that regulated traders should not be considered in violation of rules for bypassing traditional clearinghouses when conducting on-chain settlements for their own accounts. As long as trading partners can independently manage their wallets and conduct on-chain deliveries, and the trader fulfills its obligations promptly, they should be exempt from the Customer Funds Protection Rule. This approach can significantly reduce intermediary layers and improve the efficiency of blockchain settlements. 2. Proprietary trading on DeFi does not require registration as a dealer: Wintermute emphasizes that engaging in proprietary trading (including liquidity provision) solely on DeFi protocols, without interacting with clients, undertaking market-making obligations, providing advice, or custodian assets, should be considered a "trader" rather than a "dealer," and therefore registration is not required. This position continues the legal tradition of "trader exemption" and echoes the judicial trend following the court's repeal of the "dealer rule" in 2024. Wintermute emphasizes that under the current legal framework, innovation and regulation should coexist to avoid imposing undue regulatory burdens on the decentralized finance ecosystem.PANews reported on November 19 that Winternute, in its latest comment letter to the SEC's Crypto Assets Task Force, clearly stated two main arguments: 1. Allowing Self-Management of On-Chain Settlement Processes: Wintermute is urging the SEC to clarify that regulated traders should not be considered in violation of rules for bypassing traditional clearinghouses when conducting on-chain settlements for their own accounts. As long as trading partners can independently manage their wallets and conduct on-chain deliveries, and the trader fulfills its obligations promptly, they should be exempt from the Customer Funds Protection Rule. This approach can significantly reduce intermediary layers and improve the efficiency of blockchain settlements. 2. Proprietary trading on DeFi does not require registration as a dealer: Wintermute emphasizes that engaging in proprietary trading (including liquidity provision) solely on DeFi protocols, without interacting with clients, undertaking market-making obligations, providing advice, or custodian assets, should be considered a "trader" rather than a "dealer," and therefore registration is not required. This position continues the legal tradition of "trader exemption" and echoes the judicial trend following the court's repeal of the "dealer rule" in 2024. Wintermute emphasizes that under the current legal framework, innovation and regulation should coexist to avoid imposing undue regulatory burdens on the decentralized finance ecosystem.
Wintermute's letter to the SEC: Traders should be allowed to manage their own on-chain settlement processes; self-operated trading on DeFi should not require registration.
For feedback or concerns regarding this content, please contact us at crypto.news@mexc.com
PANews reported on November 19 that Winternute, in its latest comment letter to the SEC's Crypto Assets Task Force, clearly stated two main arguments:
1. Allowing Self-Management of On-Chain Settlement Processes: Wintermute is urging the SEC to clarify that regulated traders should not be considered in violation of rules for bypassing traditional clearinghouses when conducting on-chain settlements for their own accounts. As long as trading partners can independently manage their wallets and conduct on-chain deliveries, and the trader fulfills its obligations promptly, they should be exempt from the Customer Funds Protection Rule. This approach can significantly reduce intermediary layers and improve the efficiency of blockchain settlements.
2. Proprietary trading on DeFi does not require registration as a dealer: Wintermute emphasizes that engaging in proprietary trading (including liquidity provision) solely on DeFi protocols, without interacting with clients, undertaking market-making obligations, providing advice, or custodian assets, should be considered a "trader" rather than a "dealer," and therefore registration is not required. This position continues the legal tradition of "trader exemption" and echoes the judicial trend following the court's repeal of the "dealer rule" in 2024.
Wintermute emphasizes that under the current legal framework, innovation and regulation should coexist to avoid imposing undue regulatory burdens on the decentralized finance ecosystem.
Market Opportunity
DeFi Price(DEFI)
$0.000314
$0.000314$0.000314
USD
DeFi (DEFI) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact crypto.news@mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.
You May Also Like
Fed Decides On Interest Rates Today—Here’s What To Watch For
The post Fed Decides On Interest Rates Today—Here’s What To Watch For appeared on BitcoinEthereumNews.com. Topline The Federal Reserve on Wednesday will conclude a two-day policymaking meeting and release a decision on whether to lower interest rates—following months of pressure and criticism from President Donald Trump—and potentially signal whether additional cuts are on the way. President Donald Trump has urged the central bank to “CUT INTEREST RATES, NOW, AND BIGGER” than they might plan to. Getty Images Key Facts The central bank is poised to cut interest rates by at least a quarter-point, down from the 4.25% to 4.5% range where they have been held since December to between 4% and 4.25%, as Wall Street has placed 100% odds of a rate cut, according to CME’s FedWatch, with higher odds (94%) on a quarter-point cut than a half-point (6%) reduction. Fed governors Christopher Waller and Michelle Bowman, both Trump appointees, voted in July for a quarter-point reduction to rates, and they may dissent again in favor of a large cut alongside Stephen Miran, Trump’s Council of Economic Advisers’ chair, who was sworn in at the meeting’s start on Tuesday. It’s unclear whether other policymakers, including Kansas City Fed President Jeffrey Schmid and St. Louis Fed President Alberto Musalem, will favor larger cuts or opt for no reduction. Fed Chair Jerome Powell said in his Jackson Hole, Wyoming, address last month the central bank would likely consider a looser monetary policy, noting the “shifting balance of risks” on the U.S. economy “may warrant adjusting our policy stance.” David Mericle, an economist for Goldman Sachs, wrote in a note the “key question” for the Fed’s meeting is whether policymakers signal “this is likely the first in a series of consecutive cuts” as the central bank is anticipated to “acknowledge the softening in the labor market,” though they may not “nod to an October cut.” Mericle said he…
Share
BitcoinEthereumNews2025/09/18 00:23
Tips to Optimise Particle Size Distribution in Milling
The Significance of Particle Size in Milling Processes In milling processes, achieving the right particle size is very important. It affects product quality, performance
Share
Techbullion2026/03/20 01:06
Senate Republicans Hold Closed-Door Meeting on Cryptocurrency Yield Regulation
Senate Republicans held a closed-door meeting to discuss cryptocurrency yield regulation, signaling a critical and sensitive phase in broader digital asset legislation
Share
coinlineup2026/03/20 01:30
