Sunday, June 23, 2024

Commissioner of the Securities and Exchange Commission: DeFi must address accountability and anonymization

The need for regulation is felt by the traders and investors of the market to ensure their security and prevent them from any fraud cases. Countries across the world are trying to frame a set of rules and regulations to maintain the functioning of blockchain technology. Similarly, there are many digital currencies in the network of blockchain technologies which are transparent and offer people the safety that other traditional currencies fail to provide. The existing regulatory authority i.e., securities and exchange commission addressed the responsibility and accountability that digital assets like Defi (Decentralized finance) should practice.

The flood of anonymous transactions and fear of fraudulent transactions

Recently, there have been a number of transactions which came into picture and have raised concerns for investors and traders. Decentralized finance has witnessed a lot of interest by the investors and traders and money. Defi network offers some of the features that other traditional financial institutes have been offering since years i.e., trading, lending, and investment.

Defi offers more transparent and reduced risk to their customers

These features that the financial institutions provide can be performed through decentralized finance without any middlemen in the path. Therefore, the investors and traders now get the option to avoid inclusion of any third party for the completion of any transaction. The whole concept of Defi is to provide people with a less complicated network of blockchain technology. Therefore, the issue that the commissioner has raised about the feature of decentralized finance will ultimately come out as a feature that it offers.

Cryptured Team
Cryptured Team
The writers team at Cryptured.com is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.
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