Hyperliquid Policy Center and Phantom Urge CFTC to Distinguish Protocol Developers From Financial Intermediaries

Hyperliquid Policy Center and wallet developer Phantom submitted a comment letter to the U.S. Commodity Futures Trading Commission, arguing that protocols and code used to build onchain infrastructure are not the same as providing regulated financial services. According to Odaily, the letter said protocol developers should not be treated as financial intermediaries.The letter said self-custodied, code-based onchain markets need a modern regulatory framework. It also called for regulatory clarity, support for innovation returning to the United States under CFTC oversight, and the ability for users to keep self-custodied assets.