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  1. Home
  2. /Glossary
  3. /DeFi Regulation
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DeFi Regulation

Emerging regulatory approaches to decentralized finance protocols.

Definition

Emerging regulatory approaches to decentralized finance protocols. Key questions include whether DeFi frontends need licenses, if DAO token holders are liable, whether DEXs are unregistered exchanges, and how to apply KYC to permissionless protocols. No jurisdiction has fully figured this out yet.

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Related Terms

DeFi (Decentralized Finance)

Financial services built on blockchain without traditional intermediaries.

Compliance

Following the laws and regulations that apply to financial activities, including crypto.

KYC (Know Your Customer)

Identity verification required by regulated financial services.

Basis Point

One hundredth of a percentage point (0.

Bitcoin Treasury Strategy

A corporate strategy of using company treasury funds and debt to buy Bitcoin, popularized by MicroStrategy's Michael Saylor.

CBDC (Central Bank Digital Currency)

A digital form of a country's official currency issued and controlled by its central bank.

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