Criminal Penalties for Technical Failures

This provision subjects tech companies and innovators to criminal prosecution and imprisonment (up to 2 years) for any violation of the Act's requirements, including technical implementation challenges like API integration errors, data formatting issues, or incomplete audit logs. The same penalty range applies uniformly whether the violation is a minor technical glitch or a serious breach, creating extreme risk for startups and smaller tech companies that lack resources for perfect compliance. Combined with 19's permanent platform bans, this creates a chilling effect where rational entrepreneurs will avoid participating in the data exchange platform, fundamentally undermining the bill's innovation objectives.