He announced that a coalition of more than 110 builders, investors, and trade groups has sent what may be the largest crypto coalition letter ever to Congress.
The goal is clear: secure strong legal protections for software developers and non-custodial service providers in upcoming market structure legislation.
Why Developer Protections Matter
The move highlights a growing concern in the U.S. blockchain industry. As digital assets gain mainstream attention, unclear regulations risk pushing developers out of the country. In fact, the total share of open-source software developers in the United States has fallen from 25% in 2021 to 18% in 2025, largely due to regulatory uncertainty. For blockchain innovators, this trend threatens to slow the progress of decentralized networks and limit America’s role in shaping the digital financial landscape.
2/: The stakes couldn’t be higher. The U.S. share of open-source software developers dropped from 25% in 2021 to 18% in 2025 – largely due to regulatory uncertainty.
We’re literally watching American innovation migrate offshore because it’s unclear whether builders will be… pic.twitter.com/oxtiKSlm2K
— Solana Policy Institute (@SolanaInstitute) August 27, 2025
The coalition letter, addressed to Senate committees on Banking and Agriculture, emphasizes that legislation must recognize blockchain infrastructure as neutral and protect the creators behind it. Unlike traditional financial intermediaries, these developers do not hold user funds or act as middlemen. Their work enables peer-to-peer transactions, open-source networks, and decentralized applications that power the growing Web3 economy.
We just sent the largest crypto coalition letter ever to Congress!!
110+ builders, investors, and trade groups calling for protections for developers in market structure legislation
These protections are absolutely critical for any market structure bill so innovation continues…
— Hayden Adams 🦄 (@haydenzadams) August 27, 2025
A real-world example is Uniswap itself. As a decentralized exchange, it allows millions of users to trade tokens without a central authority. Its developers provide the code and infrastructure, but they do not control user funds. Without clear legal safeguards, similar projects could face lawsuits or regulatory actions that stifle innovation.
Building the Future of U.S. Blockchain Innovation
Recent trends also show lawmakers starting to listen. The House and Senate drafts of market structure legislation, including the Blockchain Regulatory Certainty Act and Keep Your Coins Act, recognize differences between traditional finance and decentralized networks. They protect important values such as self-custody and freedom to engage in peer-to-peer transactions. However, the coalition urges further federal clarity to prevent a patchwork of state laws that could create confusion and limit growth.
Today, a coalition of 100+ signatories join DEF in sending a letter to Congress.
Software developer protections are a non-negotiable in digital asset market structure legislation. This critical issue unites us — crypto and tech builders, investors, and advocates. pic.twitter.com/fi1zcErtWy
— DeFi Education Fund (@fund_defi) August 27, 2025
The coalition’s call is bipartisan. Support for open-source software protections has spanned decades, and past legislation like the CLARITY Act was passed with overwhelming votes. By explicitly shielding blockchain developers and non-custodial service providers, Congress can ensure the U.S. remains a hub for innovation, rather than losing talent to regions with clearer rules.
Disclaimer
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