Hyperliquid Policy Center and Phantom Urge CFTC to Modernize DeFi Regulation

The Hyperliquid Policy Center (HPC) and non-custodial wallet provider Phantom urged the US Commodity Futures Trading Commission (CFTC) to update its approach to decentralized finance (DeFi) in a joint response to the agency’s Request for Information on evolving financial technology. According to BeInCrypto, they argued onchain infrastructure should not be regulated like traditional financial intermediaries, and that developers publishing onchain protocol software should not automatically be treated as exchange or clearinghouse operators. The filing also asks the CFTC to formalize its recent no-action relief for Phantom through rulemaking and to create a pathway for registered exchanges and clearinghouses to adopt onchain infrastructure.