Pro-Crypto Advocates Seek to Avoid Central Bank Authority
A central bank digital currency system would be an infringement of civil liberties, panelists said.
MILWAUKEE, July 19, 2024 – Cryptocurrency experts urged the federal government to adopt pro-crypto policies and to particularly avoid regulation that institutes a central bank digital currency, speaking at a Broadband Breakfast Live Online event Wednesday during the Republican National Convention.
While Sarah Oh Lam, senior fellow at the Technology Policy Institute, highlighted some examples of excessed by some cryptocurrency company, she said she believed that decentralized financial tools need to be embraced by policy-makers, rather than banned or curbed.
Sarah Oh Lam
But she and others agreed that a central bank digital currency, in which digital currencies would be pegged to or otherwise regulated by a country’s bank, would be detrimental to the technology.
A central bank digital currency would be an “unwelcome infringement of our civil liberties,” said Jennifer Schulp, director of financial regulation studies at Cato Institute’s Center for Monetary and Financial Alternatives.
Paul Jossey, principal attorney at Jossey PLLC, expressed no sympathy for central bank authorities engaging in the kind of surveillance that would be enabled by such a currency. That tool would enable the government to potentially block transactions that it considers inappropriate, such as buying firearms or marijuana.
Oh Lam agreed that the federal reserve would be able to track transactions if it was regulated by a central bank. “Some argue that you can add a layer of anonymity, but your bills have a serial code on them” That is “a real concern for Americans who don't trust big government.”
Broadband Breakfast Reporter Joel Leighton told attendees that the Republican National Convention in Milwaukee this week featured a strong focus on cryptocurrency. Delegates and others at the convention urged that a future administration pull-back on Biden administration cryptocurrency rules.
Broadband Breakfast
For example, on May 31, President Joe Biden vetoed the Financial Innovation and Technology Act, which would have constrained regulators’ ability to put up guidelines for the crypto industry. The bill “lacks sufficient protections for consumers and investors who engage in certain digital asset transactions,” Biden said in a statement, despite widespread support from Republican and Democratic legislators.
Rep. Dusty Johnson, R-South Dakota, noted the increased support for crypto by Republicans. Historically, there have always been segments of the Republican Party that have been friendly towards crypto, he said.
Christopher Giancarlo, the former Republican chairman of the Commodity Futures Trading Commission, criticized the Biden administration for showing "abject regulatory hostility" toward the industry, claiming this stance has driven innovators overseas at a public relations event in Milwaukee.
July 17, 2024 - Crypto and the Republicans
The GOP's stance on cryptocurrency has evolved over the years in response to the industry's fluctuations and ongoing debates about its benefits and drawbacks. This election cycle in particular could significantly impact the future of digital assets in American technology. With the Republican convention in full swing, join Broadband Breakfast for a special live stream directly from Milwaukee on “Crypto and the Republicans.”
Panelists
- Sarah Oh Lam, Senior Fellow, Technology Policy Institute
- Jennifer Schulp, Director of Financial Regulation Studies, Cato Institute’s Center for Monetary and Financial Alternatives
- Paul H. Jossey, Principal Attorney, Jossey PLLC
- Joel Leighton, Reporter, Broadband Breakfast
- Drew Clark (moderator), Publisher, Broadband Breakfast
