The United States is poised for significant growth in the blockchain technology and cryptocurrency sectors, according to Representative Bryan Steil. Speaking in a February 26 interview, Steil emphasized the potential for legislative action to foster innovation and competitiveness in the industry, especially given the shift in the political environment.
“My broader philosophical goal here is [as a policymaker]: How do we make sure that the United States is in a position to out-compete the rest of the world?” Steil stated in an interview with Chainlink Labs. He added that the focus should be on ensuring that the nation is “the leader in this environment” while also implementing “reasonable consumer protections.”
Steil currently chairs the Subcommittee on Digital Assets, Financial Technology, and Artificial Intelligence. He pointed to two bills already in progress as crucial to this opportunity: one aimed at regulating stablecoins and another, a stronger iteration of the Financial Innovation and Technology for the 21st Century Act (FIT21), which focuses on market structure.
Steil observed a turning point following four years under the Biden administration and the leadership of former Securities and Exchange Commission Chair Gary Gensler. While the Biden administration faced criticism from the crypto industry, particularly regarding what was called “Operation Chokepoint 2.0″—which involved targeting cryptocurrency companies—and the SEC’s “regulation by enforcement” approach, sentiments appear to be changing.
Even former critics of digital assets, such as former President Donald Trump, are now showing a greater interest in blockchain technology. According to David Sacks, the Trump administration’s crypto advisor, stablecoins are a key priority. The aim is to bring these fiat-pegged cryptocurrencies onshore.
Stablecoins, which are often linked to the US dollar and backed by US Treasurys, serve as a way to increase global dominance over the dollar. They are widely utilized worldwide, with many crypto users relying on them in areas with significant inflation to preserve their purchasing power. Stablecoins also facilitate transactions.
Steil noted that various use cases exist for cryptocurrency, including smoothing cross-border remittances and other situations where transaction fees are high, such as real estate dealings. Blockchain solutions can also help with verifying identity, potentially boosting voter confidence in elections.
