Are DeFi projects next on SEC's watchlist?

[minairia3]

But if SEC finds a slight evidence that this is swap contracts then I expect the unexpected for the Defi hype. Of course, it's their job, this is not about control. But I don't think that they are the reason that crypto market will crash, that's an exaggeration.

Sooner or later they will find loopholes on defi but I am just expecting them to do good than harm. Most ICO projects before got condemned so much for their flaws and illegal or lack of paper shit but thats cant be found on defi projects cause technically they are all working via smart contract which government will find it hard to do an expose. We are not sure, maybe in time they will strictly imposed a drop dead law for cryptocurrency and could cause market crash. Only bitcoin in the cryptomarket following the decentralized term the rest are all centralized so its not impossible to happen.

[smyslov]

Now that DeFi projects are on a roll, it looks like the SEC is trying to stand on their way again. What are your thoughts or opinions about this one guys?

I'm sure that if they found out that those DeFi are in violation of ther policies, for sure that they are going to be the next target, and maybe on their crosshair already. Maybe one day we will here DeFi's being sued by them, just like what they did on some IEO's and ICO's. Big money is flowing on DeFI's millions if not billions already and this is enough for SEC to take a closer look in the future.

Actually there are a lot of contradictions on the SEC policies so expect them to turn their eyes on these Defi projects, they are giving banks a run for their money and SEC don't want this, SEC is here and exist to protect the interest of traditional financial institutions like banking so expect it now that DeFi is now in a billion dollar capitalization.

[gentlemand]

There were tons of abusive practices from icos and this will attract the same crowd and worse. By the time this hype is dead and gone legal types will have a lengthy shopping list of people who deserve their attention.

I can also believe there are still operators involved who don't think any laws apply to them ' because it's on the Internet.'

[btc_angela]

There were tons of abusive practices from icos and this will attract the same crowd and worse. By the time this hype is dead and gone legal types will have a lengthy shopping list of people who deserve their attention.

Right, the same type of people who believed in every hype like in the ICO madness, and probably these people are the same behind these DeFi again and willing to take the risk just to make money regardless if SEC are going to stick their nose again on the latest "money making machine" that is DeFi. Just a matter of time before legal woes will enter the picture in DeFi projects.

[BChydro]

There were tons of abusive practices from icos and this will attract the same crowd and worse. By the time this hype is dead and gone legal types will have a lengthy shopping list of people who deserve their attention.

I can also believe there are still operators involved who don't think any laws apply to them ' because it's on the Internet.'

It is a vast majority in the cryptocurrency space that think that the law does not apply to them and the scammers are a part of that idology that they could get away with anything as there is no strict law monitoring their business of raising money and get away with it. The DeFi market is getting the same hype the ICO market garnered and majority of the project will die eventually.

[RealMalatesta]

That "it is on the internet" thing has hurt a lot of people and scammers do not know that properly. Just because you created an ICO that was basically just some codes, doesn't mean that nobody can touch you, if you live in the same nation as someone who has invested into your ICO, they have the power to figure out who you are and put you into jail if you really did something like scamming them and taking money to never look back, they even have a very easy time to jail you just because you did something probably illegal while doing ICO as well with the economical laws of that nation.

So, if DeFi people want to just copy that and scam people, they will soon realize that things do not work that way and they will lose a ton of money but also might get punished with jail time.

[Serco]

i am not confidence when there are severl project booming, SEC will review some project to give proof is it againts their rule or not. its seem very unfair for investors that coming from outsid USA. to be save better to avoid project that accept USA citizen although developers team request kyc.

[Rune]

These projects that fund the devs honestly should not be funded they scam so much money from people.
We used to hate premines now coins have the devs have all the coins for them selves then sell them and keep like 20% 40% on top of a ICO that sells 60%
Its crazy people just throw there money into it even these defi projects its so easy for the devs to fund the UNiswap all on there own make fake trades like people are buying it.
And then boom take all the funds out after some real people buy some coins happening so much