{"id":504118,"date":"2022-10-27T08:50:21","date_gmt":"2022-10-27T05:50:21","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/defi-pioneer-echoes-sbf-in-call-for-tighter-crypto-regulations\/"},"modified":"2022-10-27T08:50:21","modified_gmt":"2022-10-27T05:50:21","slug":"defi-pioneer-echoes-sbf-in-call-for-tighter-crypto-regulations","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/defi-pioneer-echoes-sbf-in-call-for-tighter-crypto-regulations\/","title":{"rendered":"# DeFi Pioneer Echoes SBF in Call for Tighter Crypto Regulations"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3dfb9ce0e9b\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3dfb9ce0e9b\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/defi-pioneer-echoes-sbf-in-call-for-tighter-crypto-regulations\/#%E2%80%9D_DeFi_Pioneer_Echoes_SBF_in_Call_for_Tighter_Crypto_Regulations_%E2%80%9C\" >&#8221; DeFi Pioneer Echoes SBF in Call for Tighter Crypto Regulations &#8220;<\/a><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9D_DeFi_Pioneer_Echoes_SBF_in_Call_for_Tighter_Crypto_Regulations_%E2%80%9C\"><\/span>&#8221; DeFi Pioneer Echoes SBF in Call for Tighter Crypto Regulations &#8220;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTAvZmJhNWVmNzgtN2VlZC00M2Q3LTlkZjktNTM2MzRjNjcwODM1LmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-4b69a2fe>Respected former decentralized finance (DeFi) project founder and developer Andre Cronje has resurfaced after a lengthy hiatus to call for tighter regulations on the crypto sector amid the implosion of multiple firms this year. <\/p>\n<p>The comments echo similar sentiments to that of FTX CEO Sam Bankman-Fried (SBF), who also called for more stringent digital asset industry standards\u00a0last week, including greater consumer protections, transparency, and disclosures. <\/p>\n<p>SBF was met with strong community pushback however, with many people <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=Sam%20Bankman%20Fried&amp;src=typed_query\">accusing<\/a> the CEO of trying to monopolize or censor the DeFi space, among other things. <\/p>\n<p>In an Oct. 25 blog <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/andrecronje.medium.com\/the-crypto-winter-of-2022-3d26c283042f\">post<\/a> titled \u201cThe Crypto Winter of 2022,\u201d Cronje called for greater regulation of the sector, noting that \u201cthe recent decline of the crypto-market has shown the flaws in the system and the need for regulation to reign in irresponsible actors and protect consumers.\u201d<\/p>\n<p>Cronje added that it had been a grim year for the crypto sector as he pointed to the collapse of the Terra LUNA ecosystem and several crypto firms \u2014 particularly crypto lenders, which has left consumers reeling: <\/p>\n<blockquote><p>\u201cThe resultant issues which <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ear to be most problematic are where users\u2019 cryptocurrencies are locked in accounts handled by exchanges, or where the management of their funds is left in the hands of others.\u201d<\/p><\/blockquote>\n<p>He went on to call for greater consumer protections, especially concerning crypto exchanges and crypto investment service providers, as highlighted the complex case of users getting their funds back from the ongoing Celsius bankruptcy case. <\/p>\n<p>\u201cRemedies under the current regulatory regime are ineffective. Most investors sign away their rights to their crypto in voluminous terms and conditions of crypto-exchanges and many will (at best) rank as unsecured creditors should these exchange services be liquidated,\u201d he wrote.<\/p>\n<p>The former DeFi developer details current solutions used in traditional finance that the crypto sector hasn\u2019t yet introduced, including deposit insurance, prudential supervision, and consumer remedies in \u201cbeing able to approach the relevant prudential authority, or at least using overarching legislation as a framework.\u201d <\/p>\n<p>Regarding deposit insurance, Cronje emphasized the importance of central banks across the globe adhering to mandatory insurance practices to ensure consumer funds are protected. <\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>US lawmakers question regulators over \u2018revolving door\u2019 with crypto industry<\/em><\/strong><\/p>\n<p>Under such practices, it <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a>ly means that people have a viable and relatively straightforward route to getting their funds back, unlike in the case of Celsius.<\/p>\n<p>\u201cThe safety net of deposit insurance is a remedy available to consumers in traditional banking which is not available to depositors into crypto-exchanges (like Celsius),\u201d he wrote.<\/p>\n<p>Regarding prudential supervision, Cronje said that overarching authorities in the sector could improve confidence in crypto, such as the case of central banks supervising private banks on factors such as \u201ccapital, asset quality, soundness of management, earnings, liquidity, and sensitivity to risk.\u201d<\/p>\n<p>Cronje is seen as one of the most influential figures in the DeFi movement, due in part to launching Yearn Finance in 2020 and his work on several other DeFi protocols. In March, however, he announced that he was stepping away from working in the industry entirely. <\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/defi-pioneer-echoes-sbf-in-call-for-tighter-crypto-regulations\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8221; DeFi Pioneer Echoes SBF in Call for Tighter Crypto Regulations &#8220; Respected former decentralized finance (DeFi) project founder and developer Andre Cronje has resurfaced after a lengthy hiatus to call for tighter regulations on the crypto sector amid the implosion of multiple firms this year. The comments echo similar sentiments to that of FTX&#8230;<\/p>\n","protected":false},"author":1,"featured_media":504119,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTAvZmJhNWVmNzgtN2VlZC00M2Q3LTlkZjktNTM2MzRjNjcwODM1LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[89897,122378,4978,117,70934],"class_list":["post-504118","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-sam-bankman-fried","tag-terra","tag-bankruptcy","tag-business","tag-regulation"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/504118","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=504118"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/504118\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/504119"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=504118"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=504118"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=504118"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}