Polygon Labs Reconsiders Collaboration with South Korean Gaming Giant Nexon as US Treasury Proposes to Include DeFi in Critical Management Infrastructure

Nexon, South Korea's largest gaming company, has confirmed that it is reconsidering its relationship with Polygon. The company has been working with Polygon for more than a year, but as game development has been slow, it is understood that the company is even considering a precipitation that changes the blockchain. Nexon announced the collaboration with Polygon at the Game Developers Conference (GDC) 2023 in March last year.

Meanwhile, Polygon Labs' legal team has been active in proposing a regulatory framework to prevent illegal activities in DeFi. They have proposed that DeFi be designated as critical infrastructure under the oversight of the U.S. Treasury Department's Office of Cybersecurity and Critical Infrastructure Protection (OCCIP). However, due to its centralized nature, DeFi should be subject to existing financial regulations, the proposal added.