Hyperliquid Policy Center and Paradigm Call for the U.S. to Adjust Stablecoin Anti-Money Laundering Regulations

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Deep Tide TechFlow News, June 10th, according to The Block, Hyperliquid Policy Center and Paradigm have sent letters to the U.S. Department of the Treasury, calling for amendments to a proposed anti-money laundering rule, stating that it could impose strict liability on stablecoin issuers for secondary market transactions that they cannot substantively control.

Both parties stated that they support focusing compliance obligations primarily on the primary market where issuers can identify customers, but recommend clarifying or narrowing the requirements related to the secondary market to avoid unintended impacts on permissionless blockchain infrastructure and decentralized finance ecosystems. The rule was jointly proposed by FinCEN and OFAC in April to implement relevant provisions of the GENIUS Act.

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