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

Allianz chief economic adviser Mohamed El-Erian called on Western governments and crypto companies to strengthen cooperation to make better use of the benefits of the ongoing cryptocurrency revolution.

In an article Publish In the Financial Times on Thursday, the famous economist emphasized China’s unified approach to encryption and blockchain, rather than the decentralized processing of new technologies in the United States and Europe.

As part of the article, El-Erian called on Western governments to take a less contemptuous stance on cryptocurrencies and embrace innovations from the cryptocurrency field more openly, especially in the financial sector.

El-Erian described Debate among decision makers In the United States and Europe, especially in the context of the larger issues related to cryptocurrencies, they are narrow-minded.

According to Allianz executives, the West’s failure to keep up with Beijing’s accelerated development of its digital economy may lead to Significant impact beyond global finance And enter the field of geopolitics.

El-Erian proposed a more cooperative approach to balance the government and central bankers’ policy incompatibility with the private sector’s desire to pursue digital financial innovation through cryptocurrency.

related: Law professor calls for regulation of crypto mining at U.S. Senate hearing

Allianz executives require all stakeholders (both public and private) to take the necessary steps to create the collaborative interactions needed to embrace the ongoing crypto revolution.

El-Erian also identified anti-money laundering compliance as a necessary evil for crypto companies. According to this article, given the destructive nature of new technologies, crypto proponents have a responsibility to build better relationships with regulatory stakeholders.

This famous economist is not the only one warning that the United States and Europe may Lagging behind China and Asia In the emerging digital economy. The combination of fragmented state and federal regulations is thought to force digital innovation to leave the United States.

At the same time, as Senator Elizabeth Warren and Treasury Secretary Janet Yellen and others are keen on cryptocurrency regulations Introduce stricter laws to guide the market.