The primary objective of the legislation is to empower the Secretary of Commerce to take essential and appropriate actions that promote the competitiveness of the United States in the field of emerging technology.
The pro-crypto bill is one of at least 50 circulating through Congress since 2022, which had been paralyzed this year without a House speaker.
The law, however, is not considered among those that could have a potentially significant impact, such as the Financial Innovation and Technology for the 21st Century Act, which would affirm a process for the controversial issue of labeling cryptocurrencies as commodities or securities and clarify the jurisdictions of regulators.
Under the bill, the Secretary assumes the crucial role of senior advisor to the President, providing policy guidance on various aspects related to applications, tokens, and tokenization.
The American Blockchain Implementation Act of 2023 encompasses several key provisions to promote the adoption and competitiveness of blockchain technology within the United States.
One important provision involves the establishment of “best practices” under the direction of the Secretary of Commerce. This involves developing and implementing guidelines to help various sectors, including the private sector, public sector, and public-private partnerships, effectively implement distributed ledger technologies (DLT) that enhance their capabilities and associated applications.
Another crucial aspect of the legislation is the responsibility given to the Secretary of Commerce to formulate policies and recommendations. These policies cover many important issues, such as decentralized identity, cybersecurity, key storage, artificial intelligence, fraud reduction, regulatory compliance, e-commerce, healthcare applications, and supply chain resilience.
Stability and Security of the Blockchain Ecosystem
The main objective of these policies is to address the risks and challenges related to DLT and its applications, ensuring a “robust and secure” environment for its use.
The legislation strongly emphasizes supporting the stability, maintenance, improvement and security of blockchain technology, applications, tokens and tokenization. By promoting and improving ecosystem stability, the legislation aims to strengthen the United States’ leadership position in leveraging blockchain technology to drive innovation and economic growth.
The legislation promotes coordination among federal agencies to facilitate smooth adoption and implementation. By fostering collaboration and information sharing, federal agencies can effectively deploy DLT and associated applications.
Notably, the legislation also takes an in-depth look at how federal agencies can benefit from the use of blockchain technology and identifies potential security measures to protect critical infrastructure.
New Blockchain Implementation Program
Ultimately, the legislation establishes a Blockchain Implementation Program to reinforce American leadership in the technology. The program aims to support the implementation and utilization of DLT, applications, tokens and tokenization.
The passage of the American Blockchain Implementation Act represents a significant step in encouraging the adoption of blockchain technology in the United States.
By providing a clear legislative framework and promoting the country’s competitiveness in this rapidly evolving field, the Act is key to positioning the United States as a key player in the global blockchain ecosystem.
The Experts Have a Say
Cody Carbone, head of policy at the blockchain advocacy group; Chamber of Digital Commerce, praised the committee for passing the bill on X (Twitter), saying it will help “preserve much-needed U.S. leadership in blockchain development.” He further stated that “If you think not, China currently owns 84% of all blockchain patents. It’s time for the U.S. to step up. This bill helps.”
Ahead of its passage, Blockchain Association CEO Kristin Smith said the bill “properly advances our nation’s competitiveness in this nascent space.”
By Leonardo Perez
