Like, what are the possible regulatory hooks?
Reason for the question is it feels defi will always stay niche without some sort of state or international regulation.
Some possible hooks:
1. Wallets. These could be regulated to only link to procotols that pass a quality test.
2. Defi protocols where they are actually managed by a centralised entity, the entity can be regulated
3. DAO where these operate centrally in effect
4. Smart contract developers. Super hard, bad for innovation, would be a really bad option.
5. But the smart contracts themselves could be regulated in sense of quality marking, so that only protocols of agreed international quality would likely gain mass adoption.
6. Stablecoin issuers somehow regulated to not allow coins in ‘bad’ smart contracts
7. Tokenised RWA, likely to be regulated themselves, would not be allowed to have tokens in bad contracts.
Really interested to know what you all think