U.S. Senators Cynthia Lummis (R-WY) and Ron Wyden (D-OR) have introduced the Blockchain Regulatory Certainty Act, a bipartisan legislative proposal aimed at providing clear regulatory protections for blockchain software developers.
The core of the bill seeks to exempt developers who do not control user funds from being classified as money transmitters under federal law. This distinction is critical, as money transmitter regulations impose significant licensing and compliance burdens typically reserved for financial intermediaries like banks and payment processors.
Senator Lummis emphasized the necessity of the bill, stating, “Blockchain developers who have simply written code and maintain open-source infrastructure have lived under threat of being classified as money transmitters for far too long. This designation makes no sense when they never touch, control, or have access to user funds, and unnecessarily limits innovation. This bill gives our developers the clarity they need to build the future of digital finance without fear of prosecution for activities that pose no money laundering risk.”
Senator Wyden echoed these sentiments, criticizing the current regulatory approach as “technologically illiterate” and a potential threat to Americans' privacy and free speech. The senators argue that clear rules will spur innovation by removing the legal uncertainty that has hindered domestic blockchain development.
The proposed act is positioned as a key component of broader, comprehensive cryptocurrency market structure legislation being drafted by the Senate Banking Committee, on which both senators serve. This larger legislative effort aims to address stablecoins, decentralized finance (DeFi), and other industry sectors.
Analysts suggest the bill's passage could reduce legal risks for developers, potentially boosting investment and operational capacity within the U.S. blockchain ecosystem, with positive implications for major platforms.
