US crypto industry urges developer protections in Clarity Act

U.S. crypto industry leaders have sent a joint letter urging lawmakers to maintain the original text of the Blockchain Regulatory Certainty Act (BRCA) provision within the broader Clarity Act, CoinDesk reported. The provision in question would exempt developers and node operators who do not take custody of customer funds from being regulated as money transmitters. The letter argued that treating engineers who do not handle funds as money transmitters is akin to calling an email app developer a mail carrier. It further stated that such regulatory uncertainty has caused the U.S. share of global crypto developers to fall to 19%, emphasizing that these protections are crucial to prevent a brain drain and maintain the country's technological leadership.