During a Senate hearing, Chainalysis founder Jonathan Levin opined that the U.S. ought to prioritize and invest in digital assets to get the upper hand when enhancing financial transparency, public safety, and national security.
Speaking to the Senate Committee on Banking, Housing, and Urban Affairs, Levin noted that the United States should be at the forefront of protecting its interests, and digital assets would offer a stepping stone towards this objective in the 21st century.
“Bitcoin and Ethereum are technologies that pose the greatest opportunity to increase the degree of transparency in financial services, include the excluded, and create new ways for commerce to happen.”
Despite blockchain technology not being leveraged to its optimal potential, Levin believes it is an ideal vehicle for heightening transparency, and the U.S. should take advantage.
“We need to make sure we continue to invest in financial technology and build the financial rails that will be used by the globe in the 21st century.”
Just like the open-access currently accustomed to the internet, Levin believes a well-supported crypto market could shine a light on illegal activities happening in the financial world.
Based on the 2022 Crypto Crime Report, blockchain analytic firm Chainalysis disclosed that illicit transaction volume hit 79% in 2021.
Various experts have echoed Levin’s sentiments that policymakers should prioritize crypto.
For instance, Gene Hoffman, the president of blockchain company Chia Network, said that more money laundering is carried out by using U.S. dollars than cryptocurrencies.
“Government regulation would absolutely make sense. We don’t stop money just because there’s money laundering. Crypto gives us an opportunity where everyone could have access to these systems, and they wouldn’t have to be country-specific or opaque,” Hoffman added.
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