US Fed Chair Powell urges caution on regulating DeFi

U.S. Federal Reserve chair Jerome Powell urged lawmakers to be cautious when regulating decentralized finance (DeFi) while speaking at a roundtable conference organized by the central bank of France on Sept. 27.

Powell said that there are “very significant issues around lack of transparency” in the DeFi ecosystem and in the future, crypto markets will grow large enough to disrupt financial market stability, which is why there is a real need for more appropriate regulations.