Top decentralized finance projects form the Ethereum Protocol Advocacy Alliance to ensure onchain innovation is better represented in Washington.
Ethereum Protocol Advocacy Alliance Takes Shape
Major Ethereum-based DeFi protocols have launched a new coalition, the Ethereum Protocol Advocacy Alliance (EPAA), to educate U.S. policymakers and counter the growing influence of centralized crypto firms on regulation. The initiative, announced Tuesday, aims to ensure that decentralized systems and open protocols receive fair representation in future crypto-related legislation.
In its statement, the EPAA said that centralized players have exerted “outsized influence” in shaping policy debates, leaving “the principles and technologies underpinning onchain infrastructure misunderstood or overlooked.”
“Together, we secure over $100 billion in assets through open, non-custodial protocols that operate without intermediaries,” the alliance stated. “We will advocate for onchain solutions to regulatory challenges, grounded in technical expertise and real-world experience.”
The alliance includes some of Ethereum’s most prominent DeFi organizations — Aave Labs, Aragon, Curve, Lido Labs Foundation, Spark Foundation, The Graph Foundation, and the Uniswap Foundation. The Ethereum Foundation also expressed support, with its co-executive director Tomasz K. Stańczak praising the effort as vital “community-led coordination on advocacy.”
Balancing Centralized Lobbying Power
The launch of the EPAA comes amid rising political activity from centralized crypto giants. During the previous U.S. election cycle, the Fairshake Political Action Committee, backed by a16z, Coinbase, and Ripple, raised $260 million and spent nearly $196 million on lobbying, according to OpenSecrets data.
The EPAA aims to balance the policy narrative by highlighting the role of open-source and non-custodial innovation in the crypto economy. It outlined four key engagement strategies:
- Providing technical expertise to policymakers.
- Creating educational materials to simplify blockchain concepts.
- Coordinating strategic outreach for consistent messaging.
- Identifying common areas of technical interest to promote collaboration.
Ethereum continues to evolve as the leading smart contract platform. The Ethereum Foundation recently revamped its grants program to focus on more selective, high-impact projects. In late October, it also launched institutions.ethereum.org, a new initiative to help onboard traditional institutions into the Ethereum ecosystem.
As Ethereum’s role in the global financial system deepens, the formation of the EPAA marks a significant step in ensuring that decentralized innovation remains at the forefront of U.S. crypto policy discussions.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.