Hyperliquid, Paradigm Urge US AML Rule Revision

Crypto firms Hyperliquid Policy Center and Paradigm have jointly urged the U.S. Treasury to revise a proposed anti-money laundering rule. They argue the rule, which aims to treat stablecoin issuers like financial institutions under the GENIUS Act, would impose strict liability on issuers for transactions they cannot effectively police. The firms are concerned that the proposed regulations could significantly restrict the use of decentralized stablecoins on public blockchains, potentially hindering innovation and adoption within the DeFi space.