The policy infrastructure of the crypto industry has matured considerably over the past decade. It has grown from a single think tank in Washington to a complete network composed of industry associations, advocacy organizations, and specific ecosystem-exclusive lobbying institutions. The current landscape covers both comprehensive industry groups and specialized advocates focused on a single ecosystem, each playing a different role in promoting regulatory clarity.
In February 2026, the Hyperliquid Policy Center was officially established as the newest member; prior to this, the Solana Policy Institute debuted in 2025. Let’s take a closer look at which institutions are making their voices heard in Washington’s crypto policy power center.
Coin Center (2014) is the earliest crypto policy think tank. Coin Center has been deeply involved in Washington for more than ten years, consistently advocating for open blockchain networks and user rights, and is also the most ideologically libertarian institution in the industry. Unlike other organizations that focus on industry interests, Coin Center insists on prioritizing individual users: defending users’ self-custody rights, privacy protection rights, and the right to use crypto assets without being burdened by cumbersome taxes.
Its core goals for 2026 include: promoting the “Keep Your Coins Act” to prohibit the federal government from banning self-custody; supporting the “Blockchain Regulatory Certainty Act” (BRCA) to clarify that developers who do not custody user funds should not be considered money transmitters; and proposing detailed tax reforms: establishing a $600.00 small transaction tax exemption threshold, simplifying cost basis reporting, and taxing staking rewards only when sold, rather than when received. Note: Staking reward taxation is a common pain point for the entire industry. Currently, the IRS directly regards newly generated tokens from staking as current income, requiring validators to pay taxes even when they have not sold any assets, resulting in extremely high compliance costs. Coin Center argues that staking rewards should be treated like other generated assets: taxed only when sold.
The Blockchain Association (BA, 2018) is the largest crypto industry association in the United States, representing over 100 member institutions, including trading platforms, mining companies, DeFi protocols, and infrastructure service providers. If Coin Center speaks out based on principles, the Blockchain Association operates in an alliance model: coordinating the interests of its members and translating them into legislative priorities. Current priorities include: tax equality, market structure legislation, and DeFi protection; formally releasing tax principles, calling for small amount exemptions, stablecoins to be treated as cash equivalents, and the localization of perpetual contracts; and fully supporting BRCA and broader developer protection clauses.
The DeFi Education Fund (DEF, 2021) was originally established with a Uniswap governance grant, specializing in decentralized finance. Its work revolves around three pillars: protecting software developers, empowering DeFi users, and defending permissionless blockchains. At the developer level: DEF argues that builders should be exempt from liability when third parties misuse tools, and opposes forcibly fitting developers into a regulatory framework designed for custodial intermediaries. Consistent with Coin Center and the Blockchain Association, DEF also strongly supports BRCA. At the user level: promoting self-custody rights, privacy protection, reducing reliance on trusted third parties, and emphasizing financial inclusion. DEF’s working methods are more inclined towards law and research: submitting amicus briefs, regulatory comments, publishing popular science interpretations, and operating the high-impact “DeFi Debrief” newsletter.
The Solana Policy Institute (2025) is the first public chain ecosystem-exclusive policy institution in the industry, co-founded by the former CEO of the DeFi Education Fund and the former CEO of the Blockchain Association. It shares core demands with the entire industry, while also closely serving Solana’s ecosystem strategy. Core feature agenda: Project Open – promoting security tokenization pilots, allowing issuers to register equity as digital tokens on the public chain, achieving instant settlement and transparent ownership records, positioning Solana as the infrastructure for traditional capital market expansion; supporting the “Equal Opportunity for All Investors Act”: expanding the definition of qualified investors, no longer only looking at wealth thresholds, but adding knowledge qualifications.
The Hyperliquid Policy Center (2026) is the newest and most vertically positioned crypto policy institution, funded by the Hyper Foundation with $29.00M, with the sole core mission: to make perpetual futures compliant in the United States. Led by the former Chief Policy Officer of the Blockchain Association, HPC precisely targets the regulatory gap in decentralized derivatives. Institutional goal: to popularize the operating logic of non-custodial trading protocols to policymakers, and to promote a regulatory framework that does not require intermediary custody. Strategic significance: With the “Clarity Act” stalled in the Senate, HPC seized the window of opportunity to specifically shape regulators’ understanding of DeFi derivatives. Its core argument is: the United States must either establish a framework to participate in the competition, or completely give up the market (perpetual contract trading volume reached $92.70T in 2025).
Industry-wide consensus and differences: Although the five institutions have different positions and scopes, they are highly consistent in their core demands. Common goals include: Developer protection – almost all support BRCA, clarifying that developers who do not custody funds are not money transmitters; Staking tax reform – block rewards/staking rewards are taxed when sold, not when received; Rights protection – user self-custody rights, small transaction tax exemptions.
The differences lie in: Coin Center adheres to its principles, focusing on privacy and user rights; the Blockchain Association coordinates the interests of 100+ members across the industry; the DeFi Education Fund delves into DeFi sub-regulatory and legal support; while Solana/Hyperliquid policy institutions are exclusive to their ecosystems, and their agendas are closely aligned with their own ecosystem’s core businesses (security tokenization, perpetual contracts). These institutions jointly define the underlying values of the industry, while also reserving special promotion space for key sub-issues, marking the era of policy game in the US crypto industry shifting from “unified voice” to “professionalization, ecologicalization, and refinement”.
[David Christopher, Bankless; Saoirse, Foresight News]
The New Washington Crypto Power Structure: Implications for Market Dynamics and Investment Strategy
The rapid professionalization of crypto policy advocacy in Washington detailed in this report signals a critical inflection point in the US crypto regulatory landscape. What was once a fragmented, reactive movement has evolved into a sophisticated, multi-layered advocacy apparatus with specialized institutions targeting distinct regulatory objectives. This shift carries significant implications for market participants, token valuations, and strategic positioning in the coming regulatory cycle.
Market Implications: From Reactive to Proactive Policy Engagement
The emergence of ecosystem-specific policy institutions like the Solana Policy Institute and Hyperliquid Policy Center represents a strategic escalation in crypto’s Washington presence. Unlike the early days where industry responses were often reactive and disjointed, this new structure enables proactive, targeted policy development tailored to specific technological and business models.
This professionalization reduces regulatory uncertainty – arguably the single greatest barrier to institutional adoption of crypto assets. The specialized knowledge these organizations bring to regulators allows for more nuanced policy frameworks that accommodate the unique characteristics of different blockchain ecosystems, potentially avoiding the one-size-fits-overregulation that has plagued other emerging technologies.
The $29 million funding of the Hyperliquid Policy Center specifically dedicated to perpetual futures compliance underscores the economic significance of derivatives to the crypto market. With $92.7 trillion in perpetual contract volume in 2025, this represents a critical market segment that cannot be ignored by US policymakers. The institutionalization of advocacy for this asset class suggests we’re entering a new phase where regulators are increasingly engaging with crypto’s economic reality rather than its ideological framing.
Token Price Implications: Differentiating Policy Winners
The establishment of dedicated policy centers creates a new dimension of project differentiation that investors should carefully evaluate. While regulatory clarity benefits the entire ecosystem, projects with sophisticated policy apparatus are likely to capture disproportionate value:
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Ecosystem-Specific Policy Champions: Projects like Solana and Hyperliquid, which have established dedicated policy institutions, demonstrate a commitment to regulatory engagement that extends beyond token development. This suggests management’s recognition that regulatory strategy is now as critical as technology strategy. Investors should view this as a signal of organizational maturity and long-term viability.
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Sector-Specific Regulatory Tailwinds: The focus on staking tax reform across multiple organizations presents a significant opportunity for staking-related tokens and protocols. Current IRS treatment of staking rewards as immediate income creates substantial friction for validators and stakers. A shift to taxation upon sale would dramatically improve the risk-reward profile of staking, potentially driving increased participation and capital inflow into staking protocols.
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Derivative Protocol Tokens: The Hyperliquid Policy Center’s singular focus on perpetual futures compliance could create a regulatory moat for non-custodial derivative protocols. As US regulators struggle to classify these instruments, projects that successfully navigate the regulatory conversation may gain first-mover advantages in the potentially massive US derivatives market.
Strategic Risks: The Fragmentation Challenge
While the professionalization of crypto advocacy presents significant opportunities, it also introduces new risks market participants must navigate:
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Regulatory Fragmentation: The ecosystem-specific approach, while strategically sound for individual projects, could lead to a patchwork of conflicting regulations across different blockchain networks. This fragmentation might create compliance complexity for multi-chain protocols and potentially disadvantage smaller ecosystems without dedicated policy resources.
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Over-Representation of Large Interests: The Blockchain Association’s representation of over 100 member institutions creates a risk that larger, well-resourced members could dominate the agenda at the expense of smaller innovators. This could result in regulatory frameworks that favor established players and create barriers to entry for new projects.
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Strategic Misalignment: The specialized focus of ecosystem-specific policy organizations could lead to regulatory approaches that benefit individual projects at the expense of broader industry interests. For example, Solana’s focus on security tokenization might inadvertently create regulatory distinctions between different types of tokens that complicate the overall ecosystem.
Investment Opportunities: Beyond Hype to Regulatory Substance
Sophisticated investors should recognize that policy infrastructure is now a critical component of project evaluation. Beyond analyzing tokenomics and technology, investors should assess:
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Policy Sophistication: Projects with dedicated policy apparatus and clear regulatory strategies are better positioned for long-term success. The professionalization of crypto advocacy has elevated regulatory strategy from a secondary consideration to a primary determinant of project viability.
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Cross-Ecosystem Consensus Building: Organizations like Coin Center, the Blockchain Association, and the DeFi Education Fund that maintain industry-wide credibility on core principles (developer protection, staking tax reform, self-custody rights) represent critical infrastructure for the entire ecosystem. Their ability to build consensus across different blockchain projects creates a more stable foundation for regulatory progress.
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Regulatory Arbitrage Opportunities: As different ecosystems pursue distinct regulatory strategies, investors may identify opportunities where a project’s regulatory positioning creates competitive advantages. For example, projects positioned to benefit from expanded definitions of qualified investors (as proposed by the Solana Policy Institute) could capture previously untapped capital.
Conclusion: The New Regulatory Reality
The evolution of crypto policy advocacy from a unified voice to a sophisticated, multi-layered apparatus reflects the maturation of the industry. This professionalization creates both risks and opportunities for market participants. Projects with sophisticated regulatory strategies are likely to outperform those that remain technologically focused but strategically naive.
For investors, the key takeaway is clear: regulatory strategy is now as critical as technology and tokenomics. The establishment of ecosystem-specific policy institutions represents a permanent shift in the competitive landscape of crypto, where the ability to navigate and shape regulatory frameworks will increasingly determine which projects capture long-term value.
As we move through 2026 and beyond, expect to see regulatory outcomes increasingly reflecting the sophisticated advocacy outlined in this report. The era of crypto policy as an afterthought is over – welcome to the new era of strategic regulatory engagement as a core component of crypto value creation.