Cointelegraph reported that several US Democratic senators have introduced a bill opposing DeFi, which would allow the Treasury Department to place "high-risk" DeFi protocols on a "restricted list" and impose penalties on US users who generate recurring income from using these protocols. The bill would also require Know Your Customer (KYC) regulations for crypto front-ends, such as non-custodial wallets, and remove legal protections for crypto developers. Both the Chamber of Digital Commerce and the US Blockchain Association warned that such measures would hinder innovation and potentially drive the industry overseas.