Jun. 13, 2023
This new rule is a giant step in the wrong direction In the wake of the destruction of the centralized Crypto exchanges from last year namely FTX we need guidelines to protect us and not shunt us away from decentralized finance. Last I checked all these blowups from 2022 do have little to do with defi exchanges, These proposed rules make it more complicated and less clear about any kind of industry standard and discourage software developers and software companies to develop blockchain technology. In fact it takes it a step further is an assault on free speech because code is protected free speech it shouldn't be for thousands of software developers to guess what the rules are when there are no clear rules. There is a fundamental difference between centralized exchanges that may or may not need broker-dealer licenses and decentralized finance because there is no central entity, With enforcement becoming more and more harsh and wild and unpredictable in the United States and centralized exchanges being forced to exit because these draconian measures are pushing them out. This would essentially kill Crypto and blockchain progress in the United States further pushing more software companies innovators and technology outside of the country. The SEC’s latest rulemaking proposal treats exchanges as any system that merely sets up potential buyers and sellers, allowing them to find and negotiate transactions with each other. In fact, the SEC quite surprisingly fails to properly consider what an exchange does. In order to be an exchange, the law typically requires that an entity conduct functions commonly performed by a stock exchange The current rules as proposed will put an undue burden on the way that these blockchain technologies operate And would not be protecting individual investors or retail investors Who participate in the blockchain, DAO, or act as validators for the chain. I'm in agreement that a clear rule set is needed for the space much-needed clarity for both institutions the government and retail investors but this is just not the way. I implore you to go the route of Congressman Hill and Hester Pierce for sensible compromised regulation. 20% of this entire country uses cryptocurrency and it's growing every day every week every year, in light of all this uncertainty and regulation by enforcement I'm having to make the difficult decision of whether or not to even stay in the United States or move to a country that understands the way technology and finance is headed like Europe has done with Micah. Thank you for your consideration, Steven Mantilla