The US Commodity Futures Trading Commission (CFTC) has filed lawsuits against three DeFi companies - Opyn, ZeroEx and Deridex - for illegally trading derivatives and operating without a license.
According to the department’s statement, all firms are charged with “using blockchain-based protocols and smart contracts to function as trading platforms.”
They are also accused of illegally offering retail commodity transactions and margin transactions involving borrowed funds in digital assets, the CFTC emphasized.
Opyn, ZeroEx and Deridex will pay fines of $250,000, $200,000 and $100,000, respectively. The companies agreed to these terms to resolve the claims.
“Somewhere along the way, DeFi operators realized that illegal transactions became legal when facilitated by smart contracts,” said CFTC Director of Enforcement Ian McGinley.
The regulator is closest to the Californian ZeroEx. In 2021, the agency hired former project lawyer Jason Somensatto as head of fintech research.
However, not everyone in the Commission agreed with the verdict.
“There is nothing in these cases to indicate that customer funds were misappropriated or that any market participants were victims of DeFi protocols. I am concerned that the Commission is taking enforcement action one step further in these cases when we should be engaging with the public,” said Commissioner Summer Mersinger.
Let us recall that on March 27, 2023, the CFTC accused the Binance exchange of violating derivatives trading rules and operating without a license. According to the department, the company was also aware that its clients were sanctioned persons.
