The Commodity Futures Trading Commission (CFTC) of the United States has launched actions against three notable decentralized finance (DeFi) protocols. These platforms, namely Opyn, ZeroEx, and Deridex, face allegations of bypassing necessary registrations for their derivatives trading services.
Charges and Allegations
Both Deridex and Opyn stand accused of neglecting to register as either swap execution facilities or designated contract markets. Moreover, these two protocols reportedly breached consumer protections outlined in the Bank Secrecy Act. All three platforms, including ZeroEx, are under fire for offering leveraged and margined retail commodities transactions in the realm of digital assets without the required permissions.
Opyn positions itself as a DeFi investment strategy platform, boasting a total locked volume of $23 million. Meanwhile, ZeroEx operates as a decentralized exchange rooted in Ethereum. Deridex, an Algorand-driven derivatives platform, unfortunately, shut its doors in February.
Consequences and Penalties
In light of these findings, the CFTC has imposed fines on the three platforms. Opyn is to pay $250,000, ZeroEx has been slapped with a $200,000 fine, and Deridex faces a penalty of $100,000. Additionally, these entities are mandated to halt any actions that would further breach the Commodity Exchange Act and CFTC regulations.
CFTC’s Stand on DeFi Platforms
Ian McGinley, the enforcement director at the CFTC, expressed his views on the matter. He emphasized that, despite the innovative nature of the DeFi sector, the agency will remain vigilant. The goal is to identify and act against platforms that permit U.S. citizens to engage in unregistered digital asset derivative trading.
