Tight Regulation to End Blockchain ‘Golden Egg’ – Clinton
Rigid oversight of the blockchain technology is akin to killing its “golden goose,” former US President Bill Clinton stressed in a cryptocurrency industry conference.
“You end up killing the goose that laid the golden egg,” Clinton told attendees of Ripple’s Swell conference in San Francisco, California.
The ex-American president pointed out the “disparity of access” to new technologies such as blockchain since they develop and grow. He also noted the emergence of e-commerce solutions in the late 1990s as a parallel.
“The more you develop new technologies like blockchain … AI technologies, robotic technologies … the more the disparity of access is going to be felt,” Clinton said.
Echoing sentiments of some industry players, Clinton also emphasized that new technologies tend to be abused. For instance, terrorists or other perpetrators can use digital currencies to stage various criminal acts including money laundering.
“You don’t want consumer fraud, you don’t want to finance criminal enterprises, and you certainly don’t want to make it easier to pull off severe attacks by terrorists. That’s the challenge of each new technology,” he added.
Clinton, referring to concerns over technologies such as Global Positioning System (GPS), noted “there needs to be an intelligent effort to identify the downsides” and that “you can’t apply [an] old regulatory regime to a new technology.”
When it comes to blockchain, Clinton stated the entire blockchain hullabaloo “has the potential it does only because it is applicable across national borders, income groups. The permutations and possibilities are staggeringly great. But we could ruin it all by negative identity politics and economic and social policy.”
Clinton, joined by Gene Sperling, a former White House advisor who is one of Ripple’s board of directors, took the stage to offer a handful of advice to the country’s legislators seeking to put a strain on the nascent technology by imposing a much more rigid supervision.
During the question-and-answer portion with Sperling, Clinton tackled various topics such as the cybersecurity challenges facing the American government. He also touched on subjects seemingly beyond the financial technology conference like gun laws, foreign policy, and his recently published novel.
He was the 42nd President of the United States from 1993 to 2001 who served during the internet’s transition from the technological fringe to the commercial mainstream.
Ripple has been particularly enthusiastic in making rounds into establishment circles in recent months. Recently, it was reported that the startup and other entities had instituted the Securing America’s Internet of Value Coalition (SAIV), an advocacy group that would pay its DC lobbying firm partially in XRP.
SAIV will intend to promote “a vision of a fair and equitable Internet of Value,” standard and consistent rules for all major protocols, clarification of custodian rules and “fair and equitable IRS regulations for capital gains, assets and charitable contributions.”
Some of its members include RippleWorks Foundation; Coil, a company developing a solution for digital payments; Hard Yaka, an investment company working on digital assets; and PolySign, a company wanting to be a crypto custodian.