Former CFTC Chair Recommends the US Government Should Create A Blockchain-Based Fiat
Christopher Giancarlo, the former head of the U. S. Commodities Futures Trading Commission (CFTC), recently talked about how the government should be making an effort to digitize the dollar using blockchain, so the all power can be moved away from the central bank.
According to his opinion piece, which was recently published in the Wall Street Journal, Giancarlo affirmed that the dollar could end up losing its space and status in the near future, especially when considering that several countries are creating digital currencies.
The answer to that, in his opinion, is the creation of a new dollar. He proposed the idea of a digital dollar that would be sanctioned by the government, but issued via the blockchain and maintained that by an independent non-governmental group that could be administered by banks and trusted payment parties.
His main goal with the digital dollar would be to decentralize power over the currency. He did not affirm that central banks should not be allowed to control national currencies anymore but strongly hinted at this. He also compared the situation with post World War II when the pound sterling lost most of its power.
It is hard not to see how close to the crypto world Giancarlo’s vision is. Some people in the market, such as the book author Saifedean Ammous affirm that national currencies come and go, mostly because they are tied to poor government’s decisions. Because of this, he defends that money should be more decentralized.
Giancarlo expects this year to be a turning point for cryptos. According to him, this is the year in which the world will finally start to give a strong international response to them. Will this affect the dollar? We’ll see.