The EC has announced a tender to explore ways to automatically collect real-time data on DeFi activity on the Ethereum network for regulators.
According to the document, open source projects of decentralized finance and the ETH blockchain “will facilitate the work of identifying levers of regulation by supervisory authorities.”
The pilot program runs for a minimum of six months and is valued at €250,000.
Applications for participation are accepted until December 1.
Patrick Hansen, head of EU policy and strategy at Circle, has said:
“The ability of regulators to automatically enforce compliance by monitoring publicly available blockchain data could drastically reduce the need for market participants (such as DAOs) to actively collect, verify and report data to authorities.”