Part 11/14:
Yet, the industry also recognizes the importance of engaging with policymakers. Constructive dialogue is essential to craft balanced regulations that protect users without stifling innovation. Examples include discussions on whether Lightning Service Providers and coin join services can operate legally without KYC—an area fraught with legal uncertainty but critical for privacy.
Licensed and compliant providers could serve as bridges to mainstream adoption, while circumventing regulations may spawn unchecked “shadow” services operating outside legal frameworks—further complicating enforcement and oversight.