The first edition of XReg’s Regulation of DeFi Roundtable report

On 14 March 2024, policymakers, regulators, academics and representatives from both the decentralised finance (DeFi) and centralised finance (CeFi) sectors convened at XReg’s inaugural Regulation of DeFi Roundtable to discuss the future regulation of truly decentralised finance (tDeFi).

The Roundtable was convened in Brussels as the European Union, one of the world’s largest economic blocks, is poised to bring into effect one of the most comprehensive pieces of crypto-specific legislation, the Markets in Crypto-Assets Regulation (MiCA).

Although MiCA has carved services conducted in a fully decentralised manner out of its scope, it also mandates a report from the European Commission assessing DeFi before the end of the year and a proposal in three years’ time that puts forth a solution to address it.

The Roundtable participants addressed the following fundamental points:

• Whether or not tDeFi exists, how to define it, and what fully decentralised may mean, according to MiCA.
• Whether activities and risks in tDeFi are the same as those in traditional finance.
• Whether the same rules that exist for centralised and traditional finance should be applied to tDeFi.
• What a new regulatory paradigm for tDeFi might look like.

To learn more about the views expressed and key outcomes of the discussion, download XReg’s report.

‍

^{XReg Consulting is a public policy and regulatory affairs consultancy specialising in crypto. We help governments formulate sound policy, regulators supervise effectively, public authorities build capacity, and crypto businesses thrive and follow the rules.}

^{Questions regarding the report? Interested in participating in XReg’s future Roundtable discussions on the Regulation of DeFi? Write to us contact@xreg.consulting.}