Shibtoshi, the founder of the Silielswap Commercial Confidentiality Platform, has described several concerns that make hesitant institutions to adopt decentralized financing solutions (DEFI), including privacy, the lack of standardized compliance regulations and legal responsibility.
The founder of DEFI told Cintelegraph that the great transparency of ONCHAIN transactions presents a problem for companies that must hide sensitive information, including negotiation strategies, payroll information and business agreements. Shibtoshi said:
“The main concerns – regulatory uncertainty, confidentiality limitations and complex user experience – are real, but resoluble. Innovations in confidentiality preservation protocols make it increasingly compatible with business needs. Plate -form like Silentwap are a step in this direction.”
Regulatory uncertainty continues to be one of the biggest problems for DEFI and is aggravated by a fragmented approach through legal courts, which prevents institutional adoption, added Shibtoshi.
“Are the DEFI tokens titles? What happens if a decentralized autonomous organization (DAO) spoils-and which is responsible when everything is still clear,” the founder of Silentswap told Cointelegraph.
Shibtoshi has urged common sense regulations that encourage innovation and preserve the value proposals of decentralized finance, including auto-customodies, speed and profitable transactions.
The total value locked through the DEFI ecosystem has not yet returned to cutting -edge levels observed in 2021 and 2022. Source: Source: Defillama
In relation: Dexs for specialized use ready for growth in 2025 – Courbe founder
The US Congress overturns the archaic rule DEFI, but still in danger
The two chambers of the United States Congress recently voted to overthrow the very unpopular DEFI broker rule requiring protocols and decentralized financing platforms to report customer transactions to the Rété Service internal (IRS).
The US Senate repealed the IRS broker rule during a vote from 70 to 27 on March 4, followed by members of the American House of Representatives to repeal the IRS rule on March 11.
Despite the abrogation of the archaic rule, overbuilding can eventually kill a sector born as a decentralized, more accessible and pseudonym alternative to traditional finance.
According to the crypto entrepreneur and investor Artem Tolkachev, the regulatory compliance undermines decentralization in DEFI and destroying the value proposal of the nascent sector.
The emphasis on regulatory compliance measures increases the potential for censorship and user control to third -party intermediaries and large institutions, Tolkachev wrote.
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