Sam BankmanFried draws fire from DeFi proponents after regulation proposal

Decentralized finance proponents have taken to Twitter to criticize Sam Bankman-Fried after the FTX CEO shared an “industry norms manual” that suggested websites facilitating trading on decentralized exchanges should be regulated. Bankman-Fried’s suggestion of regulation for tools enabling retail traders to access DeFi protocols triggered horror among those who argue apps like Uniswap are simply software, not a legal entity that can be censured. To DeFi proponents, these decentralized exchanges (DEXs) are different beasts to the classic central counterparties required in traditional finance.