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Unchained

DEX in the City: With the Stablecoin Yield Compromise, Can the Clarity Act Get Passed?

Unchained

Laura Shin

Business News, News, Tech News

4.61.3K Ratings

🗓️ 8 May 2026

⏱️ 40 minutes

🧾️ Download transcript

Summary

Seven lawsuits blame OpenAI for enabling a mass shooting. Could the same legal theory come for DeFi? Thanks to our sponsor! Coinbase One Get 20% off the first year of your Coinbase One annual plan coinbase.com/unchained Seven families just sued OpenAI in federal court, arguing ChatGPT was a defective product that helped plan a mass shooting. OpenAI's own safety team flagged the risk eight months earlier and did nothing. The legal theory being tested here, that software developers can be held liable for foreseeable misuse of their tools, is the same theory that has been circling DeFi for years.  Meanwhile, April ended as the most hacked month in crypto history, with over $600 million stolen in roughly 30 exploits, most of them linked to North Korea and its weapons programs. DeFi United, a $300M relief coalition led by Aave, emerged as the industry's response.  KK, Vy, and Jessi unpack what it means when the 'code is law' defense starts to crack, why basic operational security is still not standard practice, and how close the Clarity Act actually is to crossing the finish line. Hosts: ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Katherine Kirkpatrick Bos⁠⁠⁠, General Counsel at StarkWare. Previously held senior legal roles across DeFi and centralized exchanges. ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Jessi Brooks⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠, General Counsel at Ribbit Capital ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠TuongVy Le⁠⁠⁠⁠, General Counsel at Veda Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Hi all and welcome to Decks in the City where the wallets are cold and the takes are hot.

0:05.2

We have a great show for you, but before we continue, here's a word from our sponsors.

0:09.8

You know what I'd do with a share of $1 million?

0:13.1

Honestly, I'd probably buy a one-way ticket to an island, bring a good book, and invest the rest.

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If you trade crypto regularly, the basic annual membership can pay for itself.

1:13.4

Hit a 14-day streak to get your share of $1 million. Plus, you still get 20% off the first year of

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Coinbase 1 annual plans, and a $50 Bitcoin bonus when you spend $100 on a new Coinbase 1 card in the first 30 days.

1:29.7

Don't miss your share of $1 million at Coinbase.com slash unchained.

1:35.7

Again, that's coinbase.com slash un-

1:38.8

And we're back. Before we get going, remember, as always, we're lawyers, but we're not your lawyers. So nothing you hear on decks in the city is legal or financial advice, and it doesn't create an attorney-client relationship. For the fine print, check unchainedrypto.com. So first we have Jesse, Web3 prosecutor termed Web3 protector at Ribbett Capital. And V from the SEC to Web 3. And I'm your host, Catherine, KK, fluent

2:02.9

in TradFi and Conversant in Deep Tech over at Starkware. We have a jam-packed schedule today,

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