{"id":173487,"date":"2023-10-13T13:42:11","date_gmt":"2023-10-13T08:12:11","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=173487"},"modified":"2023-10-13T13:42:11","modified_gmt":"2023-10-13T08:12:11","slug":"french-regulator-sees-defi-as-disintermediated-not-decentralized-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/french-regulator-sees-defi-as-disintermediated-not-decentralized-crypto-news\/","title":{"rendered":"French regulator sees DeFi as \u2018disintermediated,\u2019 not \u2018decentralized\u2019 – Crypto News"},"content":{"rendered":"
\n

On Oct. 12, the Autorit\u00e9 de Contr\u00f4le Prudentiel et de R\u00e9solution (ACPR), part of the French Central Bank, published a summary<\/a> of its public consultation on a regulatory framework for decentralized finance (DeFi).<\/p>\n

The public consultation lasted two months, from April to May 2023, in response to the initial paper discussing possible regulations for DeFi in the country. External contributions nudged the ACPR to surprising revelations, especially regarding the structural persistence of centralization patterns:<\/p>\n

\u201cThe ACPR therefore believes that the term \u2018disintermediated\u2019 finance is more appropriate than that of \u2018decentralized\u2019 finance.\u201d<\/p><\/blockquote>\n

The operational risk of this \u201cparadoxical high degree of concentration\u201d in DeFi concerns the physical infrastructure hosting blockchain nodes, in which cloud service providers play a central role.<\/p>\n

Related: <\/em><\/strong>CBDC lays foundation for new global monetary system: French central bank<\/em><\/strong><\/a><\/p>\n

According to the summary, the \u201cvast majority\u201d of respondents advocate that DeFi should continue to be deployed on public blockchains rather than on private or permissioned ones. However, they admit that these blockchains need to be audited on a regular basis. Proposals to regulate intermediaries and certify smart contracts were also met with broad consensus.<\/p>\n

In conclusion, the ACPR finds it \u201cadvisable\u201d to draw up rules for the certification of smart contracts, define governance that would protect DeFi customers, and lay down measures supporting DeFi\u2019s blockchain infrastructures. <\/p>\n

On Oct. 11, the European Securities and Markets Authority (ESMA) also weighed in on the discussion on DeFi<\/a>. In a 22-page report, the ESMA admitted the promised benefits of DeFi, such as greater financial inclusion, the development of innovative financial products and the enhancement of financial transactions\u2019 speed, security and costs, while also highlighting its \u201csignificant risks.\u201d <\/p>\n

Magazine: <\/em><\/strong>Beyond crypto: Zero-knowledge proofs show potential from voting to finance<\/em><\/strong><\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

On Oct. 12, the Autorit\u00e9 de Contr\u00f4le Prudentiel et de R\u00e9solution (ACPR), part of the French Central Bank, published a summary of its public consultation on a regulatory framework for decentralized finance (DeFi). The public consultation lasted two months, from April to May 2023, in response to the initial paper discussing possible regulations for DeFi […]<\/p>\n","protected":false},"author":2,"featured_media":173488,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[235,203,210,234,231,232,237,238,236,233],"class_list":["post-173487","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","tag-bitcoin","tag-crypto-currency","tag-elon-musk","tag-ethereum","tag-hyperledger","tag-ibm","tag-mining","tag-nodes","tag-spacex","tag-tesla"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/173487","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=173487"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/173487\/revisions"}],"predecessor-version":[{"id":173490,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/173487\/revisions\/173490"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/173488"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=173487"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=173487"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=173487"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}