In new legislation, Defi Coalition requests Congress to defend blockchain developers to guarantee U.S. crypto innovation supremacy.
Defi Coalition has also called upon Congress to enact powerful protections of blockchain developers. They caution that innovation in the United States may stall unless there are legal protection provisions.
The coalition comprising 115 crypto builders and advocates wrote a letter to Senate committees that demanded immediate reform.
They are straightforward: the software developers and non-custodial service providers should not be subject to outlived regulations. Decentralized networks may be at risk because these rules are targeting traditional finance.
The coalition demands that the market structure law must protect such innovators and secure the open-source freedoms.
Why Are Developer Protections Critical Now?
The alliance noted a significant drop in the U.S.-based developers of open-source to 18% in 2025 compared to 25% in 2021. Regulatory uncertainty drives talent overseas.
According to the President’s Working Group on Digital Assets, this decline is crucial in order to achieve American objectives of becoming the crypto capital of the world.
They applaud the inclusion of the Blockchain Regulatory Certainty Act and Keep Your Coins Act in the House and Senate.
These bills acknowledge the special character of blockchain and protect the right to self-custody. But the coalition believes that these are not sufficient. They demand more powerful, national safeguards that the federal law should impose, preempting contradictory state laws.
The coalition requires the explicit wording that prohibits the categorization of the developers as financial intermediaries.
They request express protection against criminals against activities that are involved in the creation and maintenance of blockchain infrastructure.
They caution that ambiguity in laws is dangerous to the spurring of innovation and competitiveness in the United States.
The Stakes for U.S. Blockchain Leadership
The letter highlights a bipartisan approach to safeguard developers by citing the supermajority of 294 members that supported the CLARITY Act.
The coalition calls upon legislators to capitalize on this energy. Strong safeguards would solidify American software-making and digital finance dominance.
The most important thing, they state, is to treat blockchain technology as neutral infrastructure. Developers just write and continue to write code.
They do not own and manage user properties. This difference should be reflected in legislation so that the old financial laws are not used in a confusing way.
In the absence of these, the U.S. can fall behind friendlier jurisdictions.
The coalition has further written a letter to the Senate Banking and Agriculture Committee stating that the area of innovation requires legal certainty more than ever.
