On June 14th, Polygon Labs chief policy officer Rebecca Rettig said on Twitter that today Polygon Labs submitted a response to the US Securities and Exchange Commission (SEC) proposed exchange definition rulemaking. The new proposed rules will not only jeopardize the DeFi industry, but also threaten unlicensed blockchain networks in the United States. From a technical, legal or practical point of view, many different and independent validators cannot somehow coordinate to the regulator to register as an exchange. Validators do not control the DeFi protocol through forks or otherwise. As we lay out more fully in our response, the proposed revised rules would effectively ban all permissionless blockchain networks in the United States, as well as many software protocols built on top of such networks, including DeFi protocols.