Major players in U.S. crypto lobbying are coming out in defense of non-custodial wallets.
On Tuesday, the Blockchain Association released a new report presenting policy options for self-hosted wallets to regulators. On Wednesday, Coin Center published an expert view by Jai Ramaswamy, also defending such wallets.
The Blockchain Association is a trade organization for the crypto industry, while Coin Center is a non-profit focused on defending decentralization before policymakers. Both are based in Washington, D.C.
Ramaswamy currently works on compliance for Celo parent company, C Labs, and was formerly the head of the Department of Justice’s anti-money-laundering (AML) division. His piece focused on the role of the Bank Secrecy Act in crypto and increased regulatory anxiety over decentralized finance and peer-to-peer (P2P) transactions. These areas lack the intermediaries that regulators pressure to keep financial data.
Ramaswamy and the Blockchain Association agree that efforts to enforce AML are best suited to crypto-to-fiat on and off-ramps — typically exchanges. Using the