US regulators are reportedly meeting with DeFi companies as scrutiny of crypto builds

US regulators are reportedly meeting with DeFi companies as scrutiny of crypto builds

The Securities and Exchange Commission and the Commodities Futures Trading Commission met with representatives from leading decentralized finance companies as crypto comes under fire from regulators worldwide, the over the weekend. Hosted by a finance trade body, the virtual meeting consisted of presentations from automated crypto exchanges like Uniswap and other players in the fast-growing DeFi sector, according to the FT. The conference comes as regulators' eyes are fixed on the potential harms of an unregulated crypto sector. The crackdown on centralized crypto exchanges has already begun, with financial authorities in the UK and Japan taking , the largest exchange by volume. Decentralized crypto exchanges have so far avoided such harsh treatment, but regulators are circling. CFTC commissioner Dan Berkovitz laid into DeFi in a this month, arguing that automated exchanges in their current form are a "bad idea" and potentially run afoul of the Commodity Exchange Act. "The CEA requires any facility that provides for the trading or processing of swaps to be registered [with the CFTC]. DeFi markets, platforms, or websites are not registered," he said. "The CEA does not contain any exception from registration for digital currencies, blockchains, or 'smart contracts.'" DeFi insiders have complained that regulators