The U.S. Securities and Exchange Commission (SEC) is working on a new policy that could exempt decentralized finance (DeFi) platforms from certain regulatory constraints. This was announced by SEC Chair Gary Gensler during the closing session of the agency’s roundtable.
This is reported by Finway
“I have instructed SEC staff to explore the possibility of changes to the Commission’s rules to provide necessary support to issuers and intermediaries seeking to administer financial systems on the blockchain,” Gensler said.
According to the SEC Chair, such regulatory relaxations could become “an exception for innovation,” allowing companies to more swiftly bring blockchain products and services to market. Gensler also emphasized that developers of DeFi projects should not be held responsible for how users apply their software.
Republican Majority Supports the Crypto Industry
Currently, there is a three-to-one advantage of Republicans over Democrats within the SEC. The Republican majority is actively advocating for a more lenient regulatory approach to the cryptocurrency market, with particular attention being paid to the DeFi sector, which has often been overlooked by the regulator.
Commissioner Hester Peirce, who leads the SEC’s cryptocurrency working group, highlighted the importance of protecting freedom of speech and the publication of code. At the same time, she warned that centralized structures would not be able to evade regulation simply by using the term “decentralization.”
Positive Changes in the Regulator’s Approach
Eric Voorhees, founder of the decentralized exchange ShapeShift, noted significant changes in the SEC’s attitude toward the crypto industry. He recalled that 12 years ago he received his first challenge from the Commission, and now he is invited to speak before the regulator.
It is worth mentioning that during the third SEC meeting on tokenization on May 12, 2025, Gary Gensler spoke for the first time as the head of the regulator and announced intentions to develop a rational regulatory framework for the cryptocurrency sector.