Referring to The Hill, Washington's main political news source, former Republican George Nethercutt says it is time for policy makers to allow cryptocurrency and innovation to develop.
Fighting for the intellectual property of the United States
Such as commercial negotiations concluded in Beijing, the intellectual property of the United States was at the top of the list. For too long, Chinese companies have violated the US IP by copying innovative American ideas and making cheaper and more accessible versions.
According to Nethercutt:
US negotiators have taken a stand for American innovation and companies will benefit from more rigorous application of their developments.
This approach to the protection and promotion of innovation on its banks has long been lagging behind and a step in the right direction. However, the story that takes place in Washington is very different from the one surrounding the cryptocurrencies. Nethercutt declares:
While State Department diplomats are barely negotiating to pave the way for American innovation, US regulators like the Securities and Exchange Commission (SEC) have been slow to comment on cryptocurrencies.
He goes on to say that this has left many US companies in limbo. Regulatory uncertainty has even forced innovation to go far. It is time for policy makers to wake up and realize that the existing securities laws do not apply to cryptocurrencies. They have to take the right steps to create new legislation.
Regulatory uncertainty has allowed bad actors to enter
According to Nethercutt, the United States dragging on crypts allowed the bad actors to enter the space. While the SEC was falling asleep at the wheel, China actively built its mining capacity. The country has already accumulated about 73% of the Bitcoin hash rate.
According to a she studies from Princeton University, China now has the power to manipulate or even sabotage cryptocurrencies at will or censor or interfere with transactions.
It is increasingly clear that China has come to play an oversized role in the cryptocurrency space.
Furthermore, the DEA states that there was a peak in the number of signs using Chinese money recyclers to clean up their operations using cryptocurrency.
Blame the victim
These types of titles generally serve to obscure cryptocurrencies with the same brush. They become associated with criminal activities, money laundering, hacks, scams, web obscurity and a whole host of other nefarious businesses that honest citizens do not want to be part of. But this, says Nethercutt, is a case of blaming the victim.
Indeed, these developments simply underline the pressing need for US lawmakers to protect and promote US efforts in developing these technologies. Instead of surrendering control to Chinese interests and other bad actors, elected officials must act decisively to provide a clear framework for our companies to thrive.
Once again, the United States is allowing China to hijack its innovation. Worse, the SEC is actively strangling it with a regulation absent or ill-conceived at best.
The increase in institutional adoption says otherwise
By emphasizing the ten-year arguments of crypto, bad actors constitute a miniscule percentage of the total users of these technologies. In particular in the short term. In reality, there are many more dollar bills used for money laundering than cryptocurrency. Around two-thirds $ 100 US dollars are outside the county without anyone keeping track of how they are hung to dry.
In addition, major companies such as Walmart, IBM, JPMorgan and even Facebook are exploring blockchain technology and applications for their businesses. Nethercutt claims that this could indicate that mass adoption is not far:
The potential benefits of widespread adoption of cryptocurrency – from seamless international financial transactions to advanced logistics tracking capabilities – offer a much more convincing argument to protect this nascent industry than to discard it.
Crypto Innovation is Happening in the United States
Many innovations are happening in the United States from individual entrepreneurs to large companies in a wide range of industries. The SEC can no longer turn a blind eye, fear, refuse or eliminate cryptocurrency and blockchain technology. If they continue this path, they risk losing the battle against the Asian tiger once again.
This begins with clarity: legislators and regulators should work together to ensure that cryptocurrencies are not categorized incorrectly and hastily on the basis of a ten-year bond law, but instead can flourish under new, sensible regulation.
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