In 1959, then-Sen. John F. Kennedy remarked on America’s road ahead: “When written in Chinese, the word ‘crisis’ is composed of two characters—one represents danger, and one represents opportunity.” Kennedy's choice of analogy for his time is perfect for ours when it comes to describing the government's view on decentralized finance—both the potential threats and its potential for good.
This dynamic was already in place before the cinematic collapse of FTX and the recent arrest of Sam Bankman-Fried. Unfortunately, the fallout from the exchange’s implosion has pushed the previously urgent regulatory debate on DeFi further off screen.
