CoinVoice has recently learned that according to Bitcoin.com, U.S. Congressman Warren Davidson introduced the "Evaluating DeFi Opportunities Act" on Tuesday. The bill calls on the U.S. Securities and Exchange Commission (SEC), the U.S. Commodity Futures Trading Commission (CFTC), and the Secretary of the Treasury to jointly study decentralized finance (DeFi). Davidson emphasized that DeFi plays a vital role in the future of the capital market, but he expressed concerns about the Biden-Harris administration's regulatory approach to the field. He described: "This legislation ensures that the federal government can implement data-driven financial regulation without interfering with the development of digital markets or endangering the user privacy provided by DeFi."
Lawmakers noted that DeFi's total market value has soared to about $75 billion as the number of users continues to increase. However, Davidson warned that excessive regulation could stifle innovation and cause investment to flow abroad. The proposed study aims to help regulators understand the benefits of DeFi, such as blockchain's operational resilience, market competition, and user privacy protection. Davidson stressed that regulators need to "take a carefully measured approach" to ensure that DeFi can thrive without jeopardizing user privacy or innovation. [Original link]