3 Questions for Department Advisor Ashley Ebersole
Ashley Ebersole is General Counsel at 0x where he leads the organization’s legal, policy, regulatory, and compliance functions. He previously served five years as Senior Counsel at the SEC, both in the Division of Enforcement and Office of General Counsel, and was a Partner and Associate at global law firms. You can follow Ashley on X at @ashley_0x_Labs.
Matt: You’ve worked in the digital asset space for a long time, with experience that spans the SEC, law firms, and blockchain projects. As we enter a period of government transition with a new administration taking the reins in just a couple of months, what advice do you have for the incoming administration on digital assets? If you had a magic wand, are there one or two specific actions you would take?
Ashley: My advice would be to engage deeply with the industry, since there’s a substantial expertise imbalance between the industry and federal government. If it’s true to its word, the new administration wants the US to lead in crypto innovation. And engaging with the industry on regulatory approach and measures is critical to this. To this end, my suggestion would be to establish crypto industry advisory groups for all financial regulatory agencies, overseen by a senior crypto-focused officer at each agency who’s deeply familiar with the technology (maybe even from the industry). Those moves should ensure the agencies move in the right regulatory direction.
Matt: I’m curious for your thoughts on how regulation could or should evolve in the context of decentralized systems. Regulators were established with centralized intermediaries in mind. Yet, we know the promise of blockchain is fundamentally about decentralized systems without centralized actors. What do you think the future of regulation should look like for digital assets?
Ashley: If done correctly, regulation can’t and won’t look the same as in the centralized context. For example, so much could be accomplished by implementing technical requirements at the smart contract level to mandate or prevent certain actions or outcomes, rather than regulating / prohibiting / incentivizing the actions or outcomes themselves. This would be a true regulatory innovation.
Matt: Founders in this space have had to operate without much regulatory clarity for a long time. That could change quite dramatically in the next few years, even if it doesn’t come as quickly as we might like. What advice do you have for founders over coming months as they seek to capitalize on positive momentum in DC without knowing where any final regulatory lines might be drawn?
Ashley: Founders in this space have previously had to effectively proceed in the dark, knowing they’re surrounded by dangerous potential missteps. Part of increasing industry engagement should be regulatory agencies increasing their industry outreach and guidance, including opening their doors for founders to have constructive conversations. Shifting mindsets to enable these changes would be truly transformative. (And if you’re a founder with a great idea, talk to us!)