Anti-DeFi Organization Runs TV Ad, Pressures Senator to Pass "DeFi Ban" Crypto Legislation

BlockBeats News, January 10th, an anti-DeFi interest group is running advertisements on US Fox News, urging the public to pressure their state senators to push for cryptocurrency market structure legislation that does not include DeFi-related clauses.

Crypto journalist Eleanor Terrett shared screenshots on Friday on the X platform, showing that the organization "Investors For Transparency" stated in the ad: "Tell your senator: pass crypto legislation without DeFi clauses," and included a hotline for viewers to directly contact the senator's office. The ad also said, "Don't let DeFi hinder innovation."

The statements are believed to echo the core concerns of the banking industry lobbying group, namely that the "CLARITY Act" may allow stablecoin issuers to offer interest-bearing products, resembling bank deposits, thereby impacting the traditional banking system. The US Treasury estimated in April of this year that if stablecoins were widely adopted, up to $6.6 trillion in deposits could flow out of the traditional banking system.

At the time of the ad placement, the US Senate Banking Committee has announced that it will amend the "CLARITY Act" on Thursday (January 15th) at 10 a.m. Eastern Time. The anti-DeFi action has sparked dissatisfaction in the crypto industry. Uniswap Labs CEO Hayden Adams stated that the organization is opposing DeFi on one hand while not disclosing its own members and funding sources, a practice that is "both ironic and unsurprising."