8 ms·

For first time a dedicated conversation on cryptocurrency in US congress

79 points by CGBrian 9y ago

KasianFranks 9y ago
This was a very positive branch in the history and adoption of cryptocurrency. Here's the full testimony: https://www.youtube.com/watch?v=iWQmQ_0Ovxs https://www.youtube.com/watch?v=iWQmQ_0Ovxs
- fomomoonhodl 9y ago
  That's such a ridiculous coin pumping meme. I watched the entire testimony. The government wants to enforce all the same regulations on the crypto world it has on the traditional world. If they succeed crypto has a much reduced value proposition. The main value of ethereum has been in tokens, and the main value in tokens has been sidestepping egregiously restrictive security regulations. The people at /r/cryptocurrency pushing this as a positive have earned the rank of shill.
staplers 9y ago
It is easy to be critical of the wild fluctuations in price and the "pump and dump" nature of cryptocurrencies, however you only ever notice big governments and companies paying attention to the technology (the actual innovation) only after the price has rapidly risen.
- JustAnotherPat 9y ago
  yes because their citizens are dumping money into them, and they're unsure where that money is going.
- janeroe 9y ago
  The only issue is there's neither attention (in the sense that you mean) of "big governments and companies" nor "innovation".
  - 52-6F-62 9y ago
    Please see my sibling comment for early evidence of both.
- 52-6F-62 9y ago
  To extend upon that: Canada's recently begun to test implementation of tech on the Ethereum chain for a few different purposes. The National Research Council is testing its use in a platform to aid in transparency of government funding: https://www.nrc-cnrc.gc.ca/eng/stories/2018/blockchains.html https://www.nrc-cnrc.gc.ca/eng/stories/2018/blockchains.html Prototype: https://nrc-cnrc.explorecatena.com/en https://nrc-cnrc.explorecatena.com/en At the WEF in Davos, Canada (w/ the UK and Netherlands) announced join work with Accenture (/Microsoft) to create a digital ID system for travellers as a pilot project: https://www.newswire.ca/news-releases/canada-to-test-advancements-in-biometrics-and-blockchain-to-welcome-international-travellers-671073413.html https://www.newswire.ca/news-releases/canada-to-test-advance... (Similar to this project, I imagine): http://www.bbc.com/news/technology-40341511 http://www.bbc.com/news/technology-40341511 Edit: Link to the below-mentioned WEF report: http://www3.weforum.org/docs/WEF_The_Known_Traveller_Digital_Identity_Concept.pdf http://www3.weforum.org/docs/WEF_The_Known_Traveller_Digital... --- Excerpt from the press release: The prototype and pilot result from two years of thorough cooperation between public and private sector partners in the World Economic Forum's Security in Travel Project. The Known Traveller: Unlocking the potential of digital identity for secure and seamless travel was published in consultation with Accenture, AccorHotels, Amadeus IT Group, AirAsia, Airports Council International (ACI), the Government of Canada, Google, Hilton Worldwide, International Air Transport Association (IATA), International Civil Aviation Organization (ICAO), International Criminal Police Organization (INTERPOL), the Kingdom of the Netherlands, Marriott International, NEC Corporation, SAP SE, Sedicii, UK National Crime Agency, US Department of Commerce, US Department of Homeland Security, Visa and World Travel and Tourism Council (WTTC).
- decorator 9y ago
  George Church is using Crypto tech for a new company. You're going to be able to sell your genomic data to pharma companies[0]. Selling such data may seem like a terrible idea, except they're also using a second layer network (Enigma.co) for the data processing which maintains the secrecy of the underlying data. That's a counter-example. I don't think George Church got FOMO! I agree with you generally. [0] https://www.technologyreview.com/s/610221/this-new-company-wants-to-sequence-your-genome-and-let-you-share-it-on-a-blockchain/ https://www.technologyreview.com/s/610221/this-new-company-w...
avenoir 9y ago
The bit that I found interesting is when one of the witnesses (either Jay Clayton or Chris Giancarlo) mentioned that they tried to get their college-age kids to invest in stock market. Even gave them some cash to play around with but it just never caught on. Then Bitcoin exploded and they naturally gravitated to it. He could've taken this story into many directions, basically saying that the whole thing is madness because we have teenagers playing in this market. But he didn't. Instead it kind of sounded like he wanted everyone to embrace it... but still put regulations in place :)
- JustAnotherPat 9y ago
  Compound interest and 5% yearly returns are boring. Technical analysis is too complicated for kids. "WHEN MOON??" is much more relatable. Go to the crypto subreddits and look at all the people who laugh at stocks, saying market returns are basically worthless.
  - to_bpr 9y ago
    I wonder if this is due to young people feeling like the status of previous generations (house, cars, kids, vacations, etc.) seem so much further out of reach than ever?
    - ryandrake 9y ago
      That and the trend that the avenues frequently cited as ways to achieve this status (hard work, education, dump your money into the stocks and pray) are increasingly being exposed as obvious bullshit.
      - JustAnotherPat 9y ago
        > dump your money into the stocks and pray) are increasingly being exposed as obvious bullshit. I'm not exactly sure how stocks have been exposed as bullshit given they've produced above average returns, especially for young people who have gotten in after 2008.
lumberjack 9y ago
Seems to me that in the short term, as long as cryptocurrencies keep getting used to move money out of non-western countries (India and China amongst others), into western countries, there is no reason why western governments would want to hinder such activity. At the same time I wouldn't be surprised if China and India try to ban them, although with all the rampant corruption at all levels of government, that might prove very hard to enforce for both of them. With regards to Russia, I don't know what to think. Am I wrong in thinking this?
- kang 9y ago
  As you mentioned, since money trickling out cannot be prevented after this invention, a better bet for India and China is to incubate home projects that can attract foreign money and hope it is more than spending. People who spend more than the value they create for humanity, are doomed in long-term.
- marnett 9y ago
  where, exactly, do you think the miners for bitcoin are located? Hint: China
  - wmf 9y ago
    And it's widely speculated that those Chinese miners exist only to convert yuan to offshore dollars/euros, which is contrary to Chinese government policy.
- sanmon3186 9y ago
  > move money out of non-western countries (India and China amongst others), into western countries I lost you there. Isn’t it moving in all directions?
bfuller 9y ago
Its amazing to see crypto currencies in their infancy. It makes me wonder about when money itself was invented, surely there were pump and dump schemes then too?
CGBrian 9y ago
Regulation is good but only when it is done with an intention of making it available to the public in a risk-free manner and not trying to abandon it. Cryptocurrencies for the first time are making people realize the importance of financial freedom like never before. Governments are not scared because cryptos can be used for illegal purpose but because it is challenging the whole foundation of current global economics.

79 points by CGBrian 9y ago

This was a very positive branch in the history and adoption of cryptocurrency. Here's the full testimony: https://www.youtube.com/watch?v=iWQmQ_0Ovxs https://www.youtube.com/watch?v=iWQmQ_0Ovxs

fomomoonhodl 9y ago
That's such a ridiculous coin pumping meme. I watched the entire testimony. The government wants to enforce all the same regulations on the crypto world it has on the traditional world. If they succeed crypto has a much reduced value proposition. The main value of ethereum has been in tokens, and the main value in tokens has been sidestepping egregiously restrictive security regulations. The people at /r/cryptocurrency pushing this as a positive have earned the rank of shill.

staplers 9y ago

It is easy to be critical of the wild fluctuations in price and the "pump and dump" nature of cryptocurrencies, however you only ever notice big governments and companies paying attention to the technology (the actual innovation) only after the price has rapidly risen.

JustAnotherPat 9y ago
yes because their citizens are dumping money into them, and they're unsure where that money is going.
janeroe 9y ago
The only issue is there's neither attention (in the sense that you mean) of "big governments and companies" nor "innovation".
- 52-6F-62 9y ago
  Please see my sibling comment for early evidence of both.
52-6F-62 9y ago
To extend upon that: Canada's recently begun to test implementation of tech on the Ethereum chain for a few different purposes. The National Research Council is testing its use in a platform to aid in transparency of government funding: https://www.nrc-cnrc.gc.ca/eng/stories/2018/blockchains.html https://www.nrc-cnrc.gc.ca/eng/stories/2018/blockchains.html Prototype: https://nrc-cnrc.explorecatena.com/en https://nrc-cnrc.explorecatena.com/en At the WEF in Davos, Canada (w/ the UK and Netherlands) announced join work with Accenture (/Microsoft) to create a digital ID system for travellers as a pilot project: https://www.newswire.ca/news-releases/canada-to-test-advancements-in-biometrics-and-blockchain-to-welcome-international-travellers-671073413.html https://www.newswire.ca/news-releases/canada-to-test-advance... (Similar to this project, I imagine): http://www.bbc.com/news/technology-40341511 http://www.bbc.com/news/technology-40341511 Edit: Link to the below-mentioned WEF report: http://www3.weforum.org/docs/WEF_The_Known_Traveller_Digital_Identity_Concept.pdf http://www3.weforum.org/docs/WEF_The_Known_Traveller_Digital... --- Excerpt from the press release: The prototype and pilot result from two years of thorough cooperation between public and private sector partners in the World Economic Forum's Security in Travel Project. The Known Traveller: Unlocking the potential of digital identity for secure and seamless travel was published in consultation with Accenture, AccorHotels, Amadeus IT Group, AirAsia, Airports Council International (ACI), the Government of Canada, Google, Hilton Worldwide, International Air Transport Association (IATA), International Civil Aviation Organization (ICAO), International Criminal Police Organization (INTERPOL), the Kingdom of the Netherlands, Marriott International, NEC Corporation, SAP SE, Sedicii, UK National Crime Agency, US Department of Commerce, US Department of Homeland Security, Visa and World Travel and Tourism Council (WTTC).
decorator 9y ago
George Church is using Crypto tech for a new company. You're going to be able to sell your genomic data to pharma companies[0]. Selling such data may seem like a terrible idea, except they're also using a second layer network (Enigma.co) for the data processing which maintains the secrecy of the underlying data. That's a counter-example. I don't think George Church got FOMO! I agree with you generally. [0] https://www.technologyreview.com/s/610221/this-new-company-wants-to-sequence-your-genome-and-let-you-share-it-on-a-blockchain/ https://www.technologyreview.com/s/610221/this-new-company-w...

avenoir 9y ago

The bit that I found interesting is when one of the witnesses (either Jay Clayton or Chris Giancarlo) mentioned that they tried to get their college-age kids to invest in stock market. Even gave them some cash to play around with but it just never caught on. Then Bitcoin exploded and they naturally gravitated to it. He could've taken this story into many directions, basically saying that the whole thing is madness because we have teenagers playing in this market. But he didn't. Instead it kind of sounded like he wanted everyone to embrace it... but still put regulations in place :)

JustAnotherPat 9y ago
Compound interest and 5% yearly returns are boring. Technical analysis is too complicated for kids. "WHEN MOON??" is much more relatable. Go to the crypto subreddits and look at all the people who laugh at stocks, saying market returns are basically worthless.
- to_bpr 9y ago
  I wonder if this is due to young people feeling like the status of previous generations (house, cars, kids, vacations, etc.) seem so much further out of reach than ever?
  - ryandrake 9y ago
    That and the trend that the avenues frequently cited as ways to achieve this status (hard work, education, dump your money into the stocks and pray) are increasingly being exposed as obvious bullshit.
    - JustAnotherPat 9y ago
      > dump your money into the stocks and pray) are increasingly being exposed as obvious bullshit. I'm not exactly sure how stocks have been exposed as bullshit given they've produced above average returns, especially for young people who have gotten in after 2008.

lumberjack 9y ago

Seems to me that in the short term, as long as cryptocurrencies keep getting used to move money out of non-western countries (India and China amongst others), into western countries, there is no reason why western governments would want to hinder such activity. At the same time I wouldn't be surprised if China and India try to ban them, although with all the rampant corruption at all levels of government, that might prove very hard to enforce for both of them. With regards to Russia, I don't know what to think. Am I wrong in thinking this?

kang 9y ago
As you mentioned, since money trickling out cannot be prevented after this invention, a better bet for India and China is to incubate home projects that can attract foreign money and hope it is more than spending. People who spend more than the value they create for humanity, are doomed in long-term.
marnett 9y ago
where, exactly, do you think the miners for bitcoin are located? Hint: China
- wmf 9y ago
  And it's widely speculated that those Chinese miners exist only to convert yuan to offshore dollars/euros, which is contrary to Chinese government policy.
sanmon3186 9y ago
> move money out of non-western countries (India and China amongst others), into western countries I lost you there. Isn’t it moving in all directions?

bfuller 9y ago

Its amazing to see crypto currencies in their infancy. It makes me wonder about when money itself was invented, surely there were pump and dump schemes then too?

CGBrian 9y ago

Regulation is good but only when it is done with an intention of making it available to the public in a risk-free manner and not trying to abandon it. Cryptocurrencies for the first time are making people realize the importance of financial freedom like never before. Governments are not scared because cryptos can be used for illegal purpose but because it is challenging the whole foundation of current global economics.