He bitcoin Policy Institute (BPI) has announced the launch of its Peer Rights Fund, a strategic initiative aimed at safeguarding the decentralized and peer-to-peer integrity of the bitcoin ecosystem. The fund's mission is to defend non-custodial tools and their developers from regulatory overreach, ensuring that innovation, privacy, and user autonomy remain protected.
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Peer Rights Fund Announcement
The mission? Safeguard the decentralized and peer-to-peer integrity of the bitcoin ecosystem by defending non-custodial tools and their developers against regulatory overreach.
Learn more and make a tax-deductible donation here:…
– David Zell (@DavidZell_) twitter.com/DavidZell_/status/1792586147182285292?ref_src=twsrc%5Etfw”>May 20, 2024
The Peer-to-Peer Rights Fund is dedicated to protecting the decentralized nature of bitcoin through strategic litigation and advocacy. By supporting critical legal cases and providing essential regulatory guidance, the fund aims to establish a fair legal framework that promotes the growth and resilience of the bitcoin open source community.
BPI argued that bitcoin's success lies in its peer-to-peer foundation, which distinguishes it from other attempts at electronic cash, as this decentralized, open-source tool is powered by its users and operates free from the influences of greed. , corruption, politics or overregulation. Developers around the world have created non-custodial tools that preserve the essence of bitcoin, including multi-signature wallets, Lightning service providers, and Coinjoin coordinators, which improve security, facilitate low-cost transactions, and ensure privacy.
Recently, US regulators have changed their stance, threatening the non-custodial ecosystem by going after developers of open source tools and companies such as Tornado Cash, Samurai Wallet, Uniswap and MetaMask. These cases could lead to unfavorable legal precedents, endangering the non-custodial bitcoin ecosystem in the United States, as the government's broad interpretation suggests that anyone who facilitates the transmission of funds should be regulated under the Bank Secrecy Act, regardless of control of funds. This could extend regulation to several non-custodial bitcoin tools, affecting hardware wallet developers, transaction streaming nodes, miners, and collaborative custody services.
The fund's first project is to defend Keonne Rodríguez and William Lonergan Hill, founders of Samurai Wallet. Rodriguez and Hill face charges of conspiracy to commit money laundering and operating a money services business without a license.
“The prosecution's attempt to classify Samourai's non-custodial currency bonding tool as a money services business risks setting a damaging precedent that could impact the entire bitcoin ecosystem,” said BPI co-founder David Zell. . “In defending this case, the fund seeks to ensure that the court understands the technology and legal principles at play, and to seek a favorable result establishing that non-custodial privacy tools cannot be regulated under the Bank Secrecy Act.”
The outcome of Rodriguez and Hill's case may significantly influence the future of non-custodial bitcoin tools and the broader decentralized finance landscape. Through this fund, BPI aims to ensure that innovation within the bitcoin ecosystem can thrive under a fair and equitable legal framework, providing critical resources for defense attorneys, sponsoring amicus curiae briefs, and supporting impact litigation.
For more information or to donate, visit their website. here.
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