The latest news in the crypto world includes a warning from the Tornado Cash developer to open-source developers, the evolution of the NFT platform OpenSea into a multi-asset exchange, and a plea from Ondo Finance to the SEC regarding Nasdaq's tokenized securities proposal.
Roman Storm's Warning to Open-Source Developers
Tornado Cash developer Roman Storm has issued a warning to open-source software developers, particularly those working on decentralized finance (DeFi) protocols, about the potential for retroactive prosecution by the United States Department of Justice (DOJ).
Storm questioned how DeFi developers could be certain they would not be charged as a money service business (MSB) for building non-custodial protocols. His ongoing case is considered to have major legal implications, potentially setting a dangerous precedent for developers currently unprotected from prosecution.
OpenSea Shifts to Multi-Asset Exchange
OpenSea CEO Devin Finzer has refuted claims that his company is pivoting away from non-fungible tokens (NFTs). Instead, he stated that the platform is "evolving" into a universal interface for trading all types of onchain assets.
Finzer revealed that OpenSea's October trading volume exceeded $2.6 billion, with over 90% stemming from token trading. OpenSea's vision is to become a comprehensive platform for:
- Tokens
- Collectibles
- Digital and physical culture
While OpenSea was a prominent NFT marketplace since 2017, it experienced a decline in dominance in early 2023 due to the overall NFT market downturn and the emergence of competitors such as Blur.
Ondo Finance Urges SEC to Delay Nasdaq's Tokenized Securities Proposal
Ondo Finance has urged the U.S. Securities and Exchange Commission (SEC) to delay or reject Nasdaq’s proposal to trade tokenized securities. Ondo argues that the proposal lacks transparency and could provide an unfair advantage to established market players.
In its letter to the regulator, Ondo, a blockchain company that issues tokenized versions of traditional assets, stated that:
- Regulators and investors cannot fairly evaluate the proposal without public details on how the Depository Trust Company (DTC) will handle blockchain settlements.
- Nasdaq's reference to non-public information implies differential access that deprives other firms of a fair opportunity to comment.
Ondo emphasized the importance of "open collaboration and transparent standards" before a final decision is made, noting that Nasdaq's rule cannot take effect until the DTC finalizes its system.