Crypto advocacy group Coin Center has urged the US Senate Banking Committee to move forward with legislation designed to protect blockchain developers from criminal prosecution when they do not control user funds.
In a recent letter to lawmakers, the Washington, DC-based policy group argued that developers of decentralized software should not be treated as money transmitters under federal law simply because bad actors may misuse their code. According to Coin Center, prosecuting software creators for how others use open-source tools could stifle innovation and drive talent outside the United States.
The legislation in question, the Blockchain Regulatory Certainty Act (BRCA), was originally introduced in 2018 by Representative Tom Emmer. A new version of the bill was drafted last month by Senators Cynthia Lummis and Ron Wyden. The updated proposal clarifies that developers and infrastructure providers who do not have custody or control over customer funds should not be classified as money transmitters under US law.
Coin Center’s policy director, Jason Somensatto, emphasized in the letter that blockchain developers deserve the same legal treatment as internet service providers, cloud hosting platforms, and email companies. He noted that these technology providers are not prosecuted when criminals misuse their services, and argued that the same principle should apply to blockchain innovation.
Somensatto added that without clear legal protections, the next generation of blockchain innovators may hesitate to build in the United States. He suggested that weakening or removing key provisions from the BRCA could create legal uncertainty and discourage responsible developers from operating domestically.
Crypto Developer Convictions Add Urgency to Regulatory Debate
The renewed push for the BRCA comes amid several high-profile convictions of crypto developers in 2025. These cases have intensified the debate over whether software creators should be held criminally liable for how users interact with decentralized platforms.
Among those convicted were Roman Storm, associated with the crypto mixing service Tornado Cash, and Keonne Rodriguez and William Lonergan Hill, founders of Samourai Wallet.
All three were convicted of conspiracy to operate an unlicensed money-transmitting business. Rodriguez and Hill received prison sentences of five and four years respectively in November, while Storm is still awaiting sentencing.
Supporters of the BRCA argue that cases like these highlight the need for clearer regulatory boundaries. They contend that without legislative clarity, developers who create open-source tools could face prosecution even if they never control or manage user funds.
