The US Government Has Unrealistic Expectations for The Technology

1. I'm quoting developers
2. I'm providing a massive list of sources on crypto bills that would kill this industry
3. I'm referring you to the law statutes that will kill this industry

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• https://treasuryraid.lexpunk.army/ - automated public commenting for the 82 page Treasury Proposal
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• https://twitter.com/CryptoTaxGuyETH/status/1695603888957641154 - Thread explaining the 82 page Treasury Proposal
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• https://www.govinfo.gov/content/pkg/FR-2023-08-29/pdf/2023-17565.pdf - The full 82 page Treasury Proposal for DeFi Broker KYC requirements
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• https://www.warren.senate.gov/imo/media/doc/2023.10.17%20Letter%20to%20Treasury%20and%20White%20House%20re%20Hamas%20crypto%20security.pdf - Long spree of misinformation from Elizabeth Warren concerning Nation Security
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• https://twitter.com/propelforward/status/1715072779723137061 - Thread explaining the Patriot act and Fincen proposal on mixers which sweeps up DeFi
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• https://www.fincen.gov/news/news-releases/fincen-proposes-new-regulation-enhance-transparency-convertible-virtual-currency - actual fincen release on today's Patriot act proposals
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• https://twitter.com/duganist/status/1456228685137260558 - 2021 Infrastructure Broker amendment bill super thread
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• you can learn about the law if you want to

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• Fatca

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• Fatf

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• OECD

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• Panama Papers

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• Obama administration CFTC cases against international forex and poker

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• online poker ban Black Monday Poker ban

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• Sar Suspicious activity reports

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• Controlled Foreign Corporation reporting

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• 6045/6050 IRS statute

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• Bilateral extradition treaties

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• Corporate structure laws for Elligible Contract participants in the Dodd Frank Bill for the Commodities Exchange act https://www.law.cornell.edu/uscode/text/7/1a
• Federal prosecution of Defense Distributed leads to extreme debanking and bans from payment processors, visa and mastercard ban them, they have to get credit card processing in latin america

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• Sesta Fosta SW regulations

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• Banking regulations for Legal Grow-Ops

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I understand where you're coming from. But certain facts remain: 1. Builders can never promise an impenetrable project, protocol, etc. 2. DPRK will continue to go to any and all lengths to exploit vulnerabilities 3. Govs want crypto industry to provide guarantee DPRK can't access funds (which guarantee can't be provided because as soon as it is and an inevitable vulnerability is exploited the backlash will be severe) So, there's a stalemate where govs must be the ones to recognise the risk and either accept it or not Currently, unlike any other industry, govs refuse to accept anything but zero risk and that's not something builders can achieve

Something that always bothered me about the legal repercussions crypto faces is that it's decisively unlike any other technology. Does Microsoft get a shut down order every time the DPRK exploits Windows XP again? Should the NHS be facing s*n*tions due to letting its computer systems get taken over by r*ns*mware? They could have reasonably acted to prevent it, surely! Hacks are not a unique risk of crypto, far from it. Developers are not responsible for creating perfect, un-hackable systems. They are not responsible for the ways in which others use their products unless there are reasonable certainties that the product only exists to cause harm and cannot be reasonably used under any circumstances. Crypto is an adversarial environment, it is open and competitive to the highest degree. Adversarial systems are the root of some our best and most robust social systems today, and that's for good reason. The stakes are high, and the consequences are permanent, but it's the fastest path to building the security principles necessary for P2P finance

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So the answer is Yes, if the DoJ and Treasury go down the road they're going down, people in dao's, and any sort of person running indexer, sequencer, relay and rpc, validator, are at risk of prison if the decentralization isn't extreme and outside the country--if things take a bad turn. There are numerous cases in the CFTC and DoJ in countless areas of the economy to act as legal precedent in federal prosecution to achieve potential mass debanking attacks on DeFi.