Odaily News Venture capital firm a16z issued a statement saying that the U.S. Department of Justice (DOJ) should stop holding DeFi protocols accountable for illegal activities that they did not instigate and cannot control.
“Holding people accountable for systems and activities over which they have no power or control leads to bad consequences,” the article states. “Unfortunately, the Department of Justice has ignored this distinction and attempted to do so by holding software developers accountable for the actions of third parties who use neutral tools that they originally created but no longer control.”
The agency said the new U.S. presidential administration’s “greatest policy priority” on cryptocurrencies should be “codifying in law the correct and legal understanding of ‘control.’”
a16z believes this is particularly important in determining whether a cryptocurrency company qualifies as a “money transmission business,” which is subject to specific rules and obligations.
According to information on the official website, a16z's venture capital investment covers more than 100 cryptocurrency companies, including DEXs such as Uniswap.