# SEC Proposes DeFi Innovation Exemption *SEC Chairman Paul S. Atkins proposed exploring a conditional “innovation exemption” to accelerate the development of compliant DeFi products.* By [ETH Daily](https://ethdaily.io) · 2025-06-11 news, 2025, june2025 --- Quick Take ---------- * SEC Chairman advocates for DeFi innovation. * Uniswap introduces the v4 Hook Design Lab. * ZKsync launches the ZKsync Gateway. * EF publishes 1TS initiative report. * * * [ SEC Proposes DeFi Innovation Exemption -------------------------------------- Listen to this episode from ETH Daily on Spotify. SEC Chairman Paul S. Atkins advocates for DeFi innovation. Uniswap introduces the v4 Hook Design Lab. ZKsync launches the ZKsync Gateway. And the Ethereum Foundation publishes a report on its Trillion Dollar Security (1TS) initiative. https://spotify.com ![](https://storage.googleapis.com/papyrus_images/4f34fbd15dd31aff85fcd5ee0aa99e10.jpg) ](https://open.spotify.com/episode/1NwounwdiLXix4WfZYWERa) * * * SEC Proposes DeFi Innovation Exemption -------------------------------------- SEC Chairman Paul S. Atkins [delivered](https://www.sec.gov/newsroom/speeches-statements/atkins-remarks-defi-roundtable-060925) remarks during the agency’s DeFi and the American Spirit Roundtable, highlighting that decentralized finance (DeFi) embodies key American values such as economic liberty, property rights, and innovation. He also criticized prior SEC leadership for discouraging blockchain participation. Atkins advocated for formal rulemaking, self-custody, and urged regulators to accommodate issuers and intermediaries using DeFi infrastructure. He also proposed exploring a conditional “innovation exemption” to accelerate the development of compliant DeFi products. Uniswap v4 Hook Design Lab -------------------------- The Uniswap Foundation [launched](https://uniswapfoundation.mirror.xyz/c9BXKBu9qsMYLc1t4jAP9lAmu-RBNcnqNzSejG-nuww?referrerAddress=0x7CdA10f1C4e11d9C536009e43F141743D11F2FED) the Hook Design Lab, a pilot grant program designed to accelerate innovation in Uniswap v4 by supporting teams building with hooks. Hooks in Uniswap v4 are smart contracts that enable customizable behavior within liquidity pools, unlocking advanced features such as dynamic fees, just-in-time (JIT) liquidity, vault automation, and rehypothecation. The program's initial cohort of selected projects includes EulerSwap, which integrates JIT liquidity with lending infrastructure; Aegis, a dynamic fee hook developed by Solo Labs; Dynamo DEX by Renzo, which applies dynamic fees to maintain peg stability for LRT assets; and Bunni, which incorporates rehypothecation and automated liquidity management.  ZKsync Launches ZKsync Gateway ------------------------------ ZKsync [launched](https://x.com/zksync/status/1932480613342458064) the ZKsync Gateway, a middleware component that facilitates interoperability between ZKsync Chains within the Elastic Network. ZKsync Chains previously settled individually on Ethereum. The Gateway aggregates multiple proofs into a single proof, allowing ZKsync Chains to access cheaper, shared settlement. The ZKsync Gateway also introduces cross-chain messaging, enabling efficient transfers. With the upcoming v29 upgrade, ZKsync will introduce native interoperability, enabling fast, direct messaging between ZKsync Chains. Ethereum Foundation 1TS Report ------------------------------ The Ethereum Foundation [published](https://x.com/ethereumfndn/status/1932442830271856682) a report for its Trillion Dollar Security (1TS) initiative, outlining the current security challenges facing Ethereum. The challenges span across user experience, smart contract vulnerabilities, infrastructure and cloud dependencies, consensus protocol resilience, incident response, and governance. Notable issues include blind signing, inadequate privacy, smart contract risks, centralization, and the brittleness of Ethereum’s fork and finality mechanisms. The 1TS initiative aims to raise Ethereum’s security to a level robust enough to securely support trillions of dollars in user, institutional, and governmental assets. Other News ---------- * Aave [goes live](https://x.com/aave/status/1932468391840772449) on Soneium * CLARITY Act [bipartisan support](https://x.com/coinbase/status/1932392300564337050) * CCTP V2 [coming to](https://x.com/circle/status/1932075224494969288) Codex * * * Disclaimer: Content is for informational purposes only, not endorsement or investment advice. The accuracy of information is not guaranteed. --- *Originally published on [ETH Daily](https://ethdaily.io/717)*