One of the main challenges for nations at this beginning of the 21st century is the technological one. The Fourth Industrial Revolution has put a set of new technologies on the table. Vital to the power of any State. Among which, Blockchain technology and the creation of government virtual currencies occupy an essential place. As the previous President of the CFTC, Christopher Giancarlo, says when he recommends that the United States create its own virtual currency.
A new technological era
Things have changed in the international system in recent years. Turning the world from the idea of triumphant liberal democracy to the end of the Cold War. Towards an era of interstate competition among the world’s major powers. Which tirelessly seek any advantage over their rivals on the international board.
And in this competition, technology is one of the fundamental elements. As one of the factors that determine the power of a country in the international system. Therefore, it is not surprising that in areas such as the 5G connection, Artificial Intelligence or Blockchain technology there is a race to make the greatest advances.
Thus, in the western world a debate has begun about the relevance of creating government virtual currencies. That they are able to provide all the technological advantages that traditional cryptocurrencies possess. But keeping them under strict state supervision.
And, although so far the western countries have not been as open to these ideas as China or Russia, their great rivals on the world board. There are strong voices within nations like the United States, which advocate not only for the creation of a virtual government currency. But they believe that it should be a priority for the American government.
Within this group that defends the use of Blockchain technology by the US government. There is the former President of the Commodity Futures Trading Commission (CFTC), Christopher Giancarlo. For whom, the time has come for the Federal Reserve to issue its own virtual currency.
Thus, in conversation with Yahoo Finance, Giancarlo said that the United States should create a virtual government currency, to compete with China. Country that would have already made important advances in the development of its future virtual currency.
For the former President of the CFTC, the creation of a digital dollar will bring advantages to the American economy. Especially in the electronic commerce sector, where there is the possibility of buying goods and services. Without paying high credit card fees, it will stimulate the sector.
Finally, Giancarlo also believes that the creation of a virtual US government currency does not have to mean a monopoly for the government in the sector. Well, other initiatives such as Libra, the virtual currency of Facebook, would have their own value, and promote competition and the advancement of technology.
International Studies student, interested in economics and international politics. Passionate about the progress of the Fourth Industrial Revolution in general and cryptocurrencies in particular.