Congressmen target peers who believe that encryption may lead to “financial 9/11”

Member of the House Financial Services Committee and Congressional Blockchain Caucus, Rep. Ted Budd of North Carolina, urged lawmakers to embrace decentralized innovation.

When this seems to be the first time an elected official has met with a Decentralized Autonomous Organization (DAO), Bud admits In a conversation with MakerDAO’s Chris Cameron on July 29, lawmakers were increasingly concerned about cryptocurrencies.

“There are some people in the Senate and the House of Representatives who are worried, especially when it comes to currency, blockchain, decentralized finance and its development methods,” he said.

“The worry is whether this will damage our national sovereignty? Will it destabilize the dollar? Does this pose a threat to national security?” he added.

“In the House of Representatives Financial Services Committee, there are even some people not far from me who would call blockchain basically financial 9/11.”

Bard described the concerns of his peers as short-sighted and warned that if local lawmakers take a hostile and exclusive stance on digital assets, American competitors may benefit.

“I think we need to be very open to this. We need to make the United States a place where this technology flourishes,” he said.

“This is a new technology that will be developed. I would rather develop it in the United States than in Singapore, Estonia or other countries that may be hostile to the United States. […] I would rather it be on our shore. “

In response to Cameron’s question on how decentralized entities can better attract lawmakers, Bard admitted that many decentralized projects “don’t know who to call” to contact regulators.

“There are many innovations, but there may be no coordination when it comes to government affairs,” he pointed out.

Budd urged the DAO to contact lawmakers and schedule meetings, but warned: “I will come, not to have technical exchanges with these people.”

“If you can explain it very clearly, ask them what they think about these things. Asking questions in advance is very easy for us to accept.”

related: Mohamed El-Erian said that Western countries need better encryption public-private cooperation

As the conversation took place, stablecoins were facing increasing scrutiny by lawmakers, and US Treasury Secretary Janet Yellen called for Stricter supervision of the stable coin sector At the meeting of the Presidential Financial Markets Working Group on July 19.

On July 27, Acting Director of the Superintendent of Currency, Michael Hsu, announced that an investigation was underway Review the so-called commercial paper reserve Tether (USDT), the largest stablecoin by market capitalization.