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a16z proposed a regulatory safe harbor for DeFi project websites and apps to the U.S. SEC
On August 13, according to Coindesk, the crypto investment firm a16z and the DeFi Education Fund are petitioning the U.S. Securities and Exchange Commission (SEC) for a regulatory safe harbor for websites and applications used to access DeFi projects, aiming to seek protection for decentralized finance (DeFi) websites and mobile apps. This application, jointly submitted with the DeFi Education Fund on Wednesday, comes as the White House and SEC Chairman Paul Atkins increase their support for DeFi, encouraging this cryptocurrency sub-sector to grow without the hindrance of heavy regulation. A recent cryptocurrency report released by the Trump administration includes recommendations to allow "certain DeFi service providers" to be exempt from broker-dealer registration requirements. The proposal states: "The core principle of the safe harbor guidelines is that only those applications that do not trigger the risks targeted by the Securities Exchange Act broker-dealer regulatory regime are eligible for exemption; in such cases, requiring them to register as brokers under the Securities Exchange Act is neither necessary nor appropriate."