Aave, Uniswap, Lido and others launch Ethereum policy group

Top Ethereum protocols, including Aave, Uniswap, and Lido, launched a global advocacy group focused on crypto policy.

As crypto adoption accelerates, regulators around the world race to catch up. For this reason, major Ethereum ecosystem players are starting a joint advocacy effort. On Wednesday, Nov. 5, seven key infrastructure builders announced the Ethereum Protocol Advocacy Alliance to advance global policy change.

The protocols involved include some of the most significant infrastructure players in the Ethereum (ETH) ecosystem. Namely, Aave, Aragon, Curve, Lido, Spark, The Graph, and Uniswap have joined the initiative. Collectively, these players secure over, $100 billion in on-chain assets.

“The Uniswap ecosystem has faced undue regulatory scrutiny in the past—that’s why we know how critical it is for actual builders to have a seat at the table when policy for decentralized financial systems is being shaped,” said Brian Nistler, General Counsel of the Uniswap Foundation.

Ethereum protocols say retail investors want decentralization

The initiative highlighted growing public interest in crypto. According to a Strategy & PwC network survey, retail adoption of crypto is on the rise. Notably, typical portfolio allocations range from 5% to 20%.

At the same time, a study by the DeFi Education Fund and Ipsos found that 56% of Americans want personal control over their money. What is more, 42% say that they would like to try DeFi if legislators passed clear rules about the emerging industry. According to Lido Labs, Ethereum provides this decentralization.

“Decentralization is the foundation of Ethereum’s credibility and resilience, and through the EPAA, we’re ensuring that policy recognizes and protects this principle,” said Sam Kim, Chief Legal Officer of Lido Labs Foundation.

Crypto firms have spent over $130 million on the 2024 U.S. elections, after which the regulatory environment for the industry changed substantially. Industry groups are now amassing an even larger war chest totaling $263 million for U.S. midterm elections.