a16z Submits Joint Comment Letter to US SEC: Proposes "Safe Harbor" for DEXs

Odaily News: On September 14, a16z and the DeFi Education Fund (DEF) submitted a proposal to the U.S. Securities and Exchange Commission (SEC), recommending a "safe harbor" from exchange registration requirements for qualifying decentralized exchanges (DEXs) and their front-end applications (DEX Apps). The proposal suggests that qualifying DEXs should possess four characteristics: non-custodial, automated, permissionless, and credibly neutral; DEX Apps should remain non-custodial, display market data based on objective and verifiable parameters, refrain from exercising discretionary control over trade execution, and limit developer activities to specific technical functions.