If 2022 has been any indication, the innovations of Web3—the developing, largely decentralized, autonomous internet, enabled by technologies such as blockchain, smart contracts, decentralized autonomous organizations (DAOs), and digital assets—will lead to an era of rethinking the ways that privacy, cybersecurity, and consumer protection are regulated for these technologies. Proponents of Web3 argue that Web3 will promote individual data ownership, transparency, and freedom, but over the last few years, lawmakers have struggled to keep up with the rapidly changing nature of the Web3 space and force the new technology to fit within the existing legal framework.

This year, however, authorities have called for a more harmonized approach to Web3 regulation. Several recent developments—including Executive Orders from President Biden and California Governor Gavin Newsom, invocation of a long-dormant statutory provision by the Consumer Financial Protection Bureau (CFPB), and proposed amendments to the Cybersecurity Information Sharing Act—have signaled that lawmakers and regulators are prioritizing new approaches to privacy, cybersecurity, and consumer protection in an attempt to regulate Web3.

Continue Reading Privacy, Cybersecurity, and Consumer Protection Are Set To Be Key Focus Areas For Regulators As Web3 Innovation Continues

On June 30, 2022, the Department of Justice (“DOJ”) announced four enforcement actions involving allegations of fraud in the cryptocurrency space. The enforcement actions, which collectively bring criminal charges against six individuals, demonstrate the breadth of potential conduct that may expose participants in the blockchain industry to regulatory and enforcement risk. In connection with these