Stephen Palley, partner at Anderson Kill, discusses a few hot-button crypto regulatory issues like lending products, whether DeFi protocols fall under the SEC’s purview, and more. Show highlights:
- why Stephen thinks the SEC and CFTC did not announce more extensive crypto enforcement news this week
- what areas the SEC Chair Gary Gensler and the SEC as a whole are focused on regulating
- what Stephen has heard about whether stablecoins that are not fully-backed are securities
- why Coinbase decided to drop its Lend product
- why Stephen is skeptical that decentralized protocols should be regulated under existing securities laws
- how securities law is contrary to consumer protection in light of DeFi protocols and airdrops
- why DeFi AMMs should be regulated differently than centralized market books
- whether companies running a front-end for a DeFi protocol should be considered an exchange
- why crypto devs are “going Satoshi” because of US securities laws
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Episode Links
Stephen Palley
- Twitter: https://twitter.com/stephendpalley
- Unchained podcast appearance speaking about Ripple: https://unchainedpodcast.com/the-secs-lawsuit-against-ripple-and-2-execs-what-you-need-to-know/
Topics Covered
Lending Products
- Coinbase blogs regarding Lend
- Lend overview: https://www.jdsupra.com/legalnews/a-september-to-remember-coinbase-avoids-7608131/
- Brian Armstrong angry tweet storm
- BlockFi and Celsius overview
SEC + Gary Gensler
- How SEC Chair Gary Gensler’s Views on Crypto Have Changed Since His MIT Days
- SEC Chair Gary Gensler Washington Post Q&A
- Gary Gensler + Elizabeth Warren letters
Other
- Uniswap delisting certain tokens through its front end