Fred Wilson Says Cryptocurrencies Could Unseat Tech Monopolies
Elizabeth Warren, which is going to take on Trump in the upcoming presidential election, announced its plans to break up tech monopolies by designating them as public utilities. If there are fewer competitors in the market, large technology companies could compete in a less aggressive way.
She explained that her administration will be restoring competition to the technological sector, by taking two different major steps. The first one is to pass legislation requiring large tech firms to be designated as Platform Utilities. These platforms must have an annual global revenue of $25 billion or more. The second thing that the will do is to impose new rules for smaller companies.
About it, she explained:
“To enforce these new requirements, federal regulators, State Attorneys General, or injured private parties would have the right to sue a platform utility to enjoin any conduct that violates these requirements, to disgorge any ill-gotten gains, and to be paid for losses and damages.”
Fred Wilson, a prominent Venture Capitalist in Silicon Valley, was asked about the statement made by Warren saying that startups can now compete against big tech firms.
Wilson said that they are working on a new architecture that is based on a user’s control of their own data. In this way, it will be possible to “unseat all of these monopolies in time.”
There are several blockchain projects that are working in order to provide alternatives to large giant technological companies by starting an initial Coin Offering (ICO). Nevertheless, Warren does not seem to be an ICO supporter and investors. As he explained, none of the $4 billion raised through Initial Coin Offerings had registered properly with the U.S. Securities and Exchange Commission (SEC).
The solution to this issue is by implementing a mixture of smart regulations and enforcing competitive laws in addition to updating old laws.
Regulating the crypto space and investments is a very difficult issue that must be debated and analyzed. There are some changes that take years to be processed.