The lobbying efforts of the US crypto industry surrounding congressional legislation continue to intensify. On June 3, a new political action committee, Defend Developers PAC (DDPAC), was announced, aiming to secure clearer legal protections for US crypto developers and push for related provisions to be included in congressional legislation.

Multiple organizations jointly launched

This organization was initiated by several crypto policy and industry bodies, with founding members including the DeFi Education Fund, Orca Creative, Solana Policy Center, and Uniswap Labs. The initiators stated that DDPAC is not affiliated with a single company and focuses on integrating industry resources around the issue of developer protection.

Determining the developer's liability becomes the focus

The background to DDPAC's involvement is the US Congress's push for the CLARITY Act, a bill that structurates the crypto market. According to the article, some provisions of the bill propose excluding non-custodial DeFi platforms from the definition of "funds transfer institutions."

This means that if the platform itself does not hold user assets, developers may not be directly held legally liable for illegal acts by third parties in the agreement. Supporters argue that this helps reduce compliance risks for software developers and avoids equating open-source code authors with financial intermediaries.

Stablecoin yields remain a drag.

Besides developer protections, the CLARITY Act faces two major controversies before it can advance in the Senate: ethical provisions and stablecoin yields. The article states that the banking industry is still pushing for stricter restrictions on stablecoin yields, and even advocating for a complete ban on related yield arrangements.

Regarding ethical considerations, senior White House officials have stated that negotiations are ongoing, but they remain cautiously optimistic about reaching an agreement. Discussions include balancing government interests and the division of power between the executive and legislative branches.

Senate deliberation may be postponed

Senator Cynthia Lummis indicated that the crypto market structure bill is more likely to enter the Senate for consideration after the July 4 recess, rather than before. If the timeline continues to be pushed back, the coming weeks will remain a period of intensive industry lobbying and textual harmonization.