US Congress Contains Crypto In Its Joint Economic Report for the Very First Time

For the very first time the US Congress has dedicated a whole section to cryptocurrencies and Blockchain technology in its own yearly Joint Economic Report, released March 13. 2018 Joint Economic Report contains analysis and recommendations for the coming year and dedicates an entire chapter to providing insight to the impact of cryptocurrencies and Blockchain on the US economy today. The report predicts 2017 the year of cryptocurrencies, pointing out that widespread concern over Bitcoin drove it to second position as an international news topic in Google’s Year in Search 2017.

The cost of a number of cryptocurrency and Blockchain assets showed a stunning surge, leaving behind several crucial economic indexes like the Dow Jones Industrial Average and the S&P 500. If digital monies less volatile in the future, valuing items in these denominations can become easier and people might begin utilizing them more often as a medium of exchange, the report states. Cryptocurrency market capitalization was favorably influenced by skyrocketing costs. In the start of 2017, the aggregate value of Bitcoin in circulation totalled nearly $15.5 bln, but at the close of the year it increased almost 14 fold to over $216 bln.

Such electronic monies like Ethereum, Ripple, and Litecoin experienced similar gains. But, in accordance with the report, many leading economists, such as former Federal Reserve Chairman Janet Yellen, nevertheless do not believe cryptocurrencies fit the typical definition of cash and predict Bitcoin a highly insecure asset. The recommendations contained in the document represent a certain interest because the authors advise government agencies at all levels to consider and examine new applications for the technology. Namely, they comprehend Blockchain’s capacity to boost agency efficacy and ensure protection against cyber attacks. Policymakers, regulators, and entrepreneurs must continue to work together so that developers can deploy these new Blockchain technology quickly and in a way that protects Americans from fraud, theft and abuse, while ensuring compliance with relevant regulations, the report adds.

The study also underlined that Blockchain has proved largely immune to hacking, and has much greater potential applications. Though electronic monies and Blockchain still stir up dispute, the study presented in the analysis demonstrates that political bodies cannot ignore the revolutionary technology of Blockchain. As the report noted, the technology may be used in vital fields like healthcare and securing critical fiscal and energy infrastructure. Earlier this week the Sub-Commission for Capital Markets, Securities, and Investments convened for a hearing devoted to cryptocurrencies, Initial Coin Offerings, and Blockchain development in the United States, making it clear that more regulatory clarification from the US government is needed.