Robert Beadles, President of Monarch Wallet draws a historical comparison between America’s great pursuit of space and landing on the moon to the current need to prioritize the pursuit of blockchain and cryptocurrency development.
It was August 2nd, 1955, when the Soviet Union declared in response to the U.S. announcing just 4 days earlier of their intent to launch artificial satellites for the International Geophysical Year. Soon after, The Soviet Union successfully launched Sputnik 1 on October 1957. The space race ended up peaking around July 20th, 1969, with the U.S. landing of the first humans on the moon with the Apollo 11 mission.
A lot can be said about the tension between the Soviet Union and the U.S. during that time, but I’ll allow this quote from President Lyndon Johson to impress just how important it really was:
“If I could get one message to you it would be this: the future of this country and the welfare of the free world depends upon our success in space. There is no room in this country for any but a fully cooperative, urgently motivated all-out effort toward space leadership. No one person, no one company, no one government agency, has a monopoly on the competence, the missions, or the requirements for the space program.†President Lyndon B. Johnson
Similar to how important the pursuit of space became to America, I believe it is almost just as important for America to prioritize and pursue blockchain development. Regulatory bodies need to implement common-sense regulations that don’t stifle blockchain and cryptocurrency technological development. If they end up taking the wrong course, it would drive the development of the technologies to other competing countries.
I’m not alone in my thinking either. Mark Zuckerberg, the CEO of Facebook, is telling American lawmakers that the Libra cryptocurrency, backed by Facebook, “will extend America’s financial leadership as well as our democratic values and oversight around the world.†While also making mention that “While we debate these issues, the rest of the world isn’t waiting. China is moving quickly to launch similar ideas in the coming months,†According to Zuckerberg’s prepared remarks.
He further drives the point home by saying, “Libra will be backed mostly by dollars and I believe it will extend America’s financial leadership as well as our democratic values and oversight around the world. If America doesn’t innovate, our financial leadership is not guaranteed.†This is all after Libra has had a tough couple of weeks, having watched Paypal, Stripe, Visa, Mastercard, eBay, Booking and Mercado Pago leave its organization.
Zuckerberg further reiterated to U.S. lawmakers by saying: “even though the Libra Association is independent and we don’t control it, I want to be clear: Facebook will not be part of launching the Libra payments system anywhere in the world until US regulators approve,†Zuckerberg said.
A lot can be said both for and against what Facebook and Libra are trying to do. The whole situation reminds me of what President John F. Kennedy said in 1962.: “… the United States was not built by those who waited and rested and wished to look behind them. This country was conquered by those who moved forward, and so will space.†I truly believe U.S. lawmakers face a similar situation in our day and age. Blockchain and Cryptocurrency innovation is the “Space Race 2.0†in my opinion and if American lawmakers choose wrongly, it could truly set the U.S. back in the world when it comes to maintaining our financial leadership.
Thankfully there are lawmakers who feel similarly; recently, Senator Mike Rounds (R-S.D.) Opens a new window wrote a supportive letter to Libra members that explained the potential dangers and warned of the consequences of regulatory overreach becoming a possible boon to innovation in the U.S.
All of this, while due to geopolitical tensions and economic uncertainty, governments around the world are seeking alternatives to their current financial approaches. Venezuelans, for example, have chosen to store and transact with digital currencies such as Litecoin, Dash, Bitcoin, and DigiByte to protect themselves from the massive hyperinflation caused because of their poorly managed government. Then we have China developing its own digital fiat currency—which might just give its economy possible trade advantages and could reduce its dependence on the U.S. dollar or even eventually become a competitor if America doesn’t innovate.
America sits at a crossroads; whether or not you like the idea of Libra’s cryptocurrency, what they are doing comes at a time when blockchain and cryptocurrency need better regulatory guidance. I believe this is the perfect time for American lawmakers to take a serious look, educate themselves, and weigh all options available for the betterment of the American people, and ultimately, all of the world. Regardless of my views on what a corporation controlling a potentially global currency could mean, I view Libra as a much-needed catalyst to force regulatory bodies to give blockchain and cryptocurrency the attention it deserves.
“Cryptocurrency and blockchain provide financial empowerment for the masses or financial enslavement of the masses. Time will tell which will hold true.†-Robert Beadles AKA Crypto Beadles.