On June 7, the United States House of Representatives Energy and Commerce Committee’s Subcommittee on Innovation, Data and Commerce held a meeting to discuss blockchain technology and the future of Web3. The meeting involved industry representatives, including Ryan Wyatt, the president of Polygon Labs, and legal experts, who engaged in a constructive dialogue with the committee.
The timing of this meeting was notable, as it took place shortly after the SEC announced lawsuits against major crypto exchanges Binance and Coinbase. During his testimony, Wyatt highlighted the potential of blockchain technology and its value to users, emphasizing the importance of building a healthy and well-regulated blockchain ecosystem in the United States.
Wyatt addressed the fundamental problem that blockchains solve, which is the issue of “value extraction” on the internet. He explained that in the current Web2 era, large centralized tech companies extract value from users by charging fees and collecting user data for their own benefit. In contrast, Web3, based on decentralized and transparent systems, aims to democratize the internet. Blockchains utilize cryptography and a network of computers to secure and maintain information, eliminating the need for a central authority. In Web3, users have control over their data and can choose when, how, and if they want to share it with applications and services.
Regarding the partnership between the U.S. government and the industry, Wyatt emphasized that the current regulatory environment poses a significant barrier. By fostering a well-regulated blockchain ecosystem, the U.S. can maintain its competitive edge and ensure the thriving of the technology industry domestically. Wyatt stated that if regulations do not keep up with novel technologies, the U.S. may lose its competitive advantage to other countries.
Furthermore, Wyatt argued that building a blockchain technology ecosystem in the U.S. benefits Americans by driving economic growth and creating jobs in both technical and non-technical sectors. It can also enhance consumer protection by leveraging blockchain’s transparency and aligning regulation with emerging technologies. Wyatt provided examples of Web3 applications and use cases, such as blockchain-based consumer loyalty programs, non-fungible tokens (NFTs) in the fashion industry, blockchain-based community organizations, and blockchain solutions for supply chain management in the U.S. Air Force and the Department of Defense.
The hearing marked a significant moment as lawmakers hosted a crypto hearing that specifically addressed non-financial use cases, following a June 6 Agriculture Committee meeting where exchange executives and former regulators were questioned about compliance and consumer protection.
Get $200 Free Bitcoins every hour! No Deposit No Credit Card required. Sign Up