Paradigm acknowledged that sanctions can be an important tool to preserve national security, but said it believes base layer participants merely record and order data (which may include sanctioned addresses), but do not actively control sanctioned assets. Paradigm further suggested that stringent regulation would eventually push blockchain innovation offshore, making it more difficult to track crypto transactions for legitimate national security purposes.
Source: https://www.coindesk.com/policy/2022/09/09/crypto-investor-paradigm-argues-infrastructure-providers-should-not-be-subject-to-us-treasury-sanctions/?utm_medium=referral&utm_source=rss&utm_campaign=headlines