THE CURRENT CROSSROAD OF BLOCKCHAIN
Which way should we go from here?
Have you ever fallen down a metaphorical hole and felt like Alice from Alice and Wonderland? Since starting at Terrapin and I have found myself becoming “Curiouser and Curiouser” about the implications and policy debates surrounding Blockchain technology. For those new to this space, IBM defines blockchain in the most simple form as, “a shared, immutable ledger for recording transactions, tracking assets and building trust.” Existing regulatory regimes built by Dodd-Frank, Gramm Leach-Bliley, and Sarbanes Oxley, have all in one way or another, been about building trust within the financial sector. Blockchain technology has the ability to drive social impact, build trust, and increase efficiencies in a massive way.
Blockchain technology is not just for those in the cryptocurrency world, blockchain is already changing the financial sector; beyond that, it has tremendous use cases in supply and logistical applications in agriculture, and manufacturing. Further down the Rabbit Hole, there are incredible advances in consumer rights and protections such as privacy, voting and identity protection and even humanitarian relief. Ultimately, Blockchain is a means to enable and empower people with transparency, efficiency, traceability, cost reduction, and security.
Now we find ourselves at the crossroads of the Cheshire Cat, "would you tell me, please, which way I ought to go from here?" "That depends a good deal on where you want to get to.” Following successive financial crises, there was a great deal of support for increased regulation. Today, despite the obvious benefits and conversely the potential for losses, Blockchain remains in a regulatory limbo of sorts. The debate is ongoing, on how to balance innovation with appropriate and clear regulations to support the technology’s growth. Congress seems headed in this direction, “we are going to focus on legislation, and I think it’s going to be to place key guardrails around the industry,” said House Maj Whip, Congressman Tom Emmer, ultimately, it is about “restoring liberty and choice to individuals,” … all individuals.
My home state of Minnesota, has the Minnesota Blockchain Initiative who has a mission to build the blockchain ecosystem in Minnesota and establish the Twin Cities as an international hub for blockchain & Web3 innovation. This week, there is an important event, that will have discussion and exploration on the future of Web3, blockchain, and VR, at the REM5 VR Lab.
Our goal at Terrapin is to grow our strategic partners to help all levels of government gain a better understanding of this technology and why it is crucial for all parties to be at the table finding the best solutions. As mentioned in last week’s post, “we’re standing at an inflection point and great opportunity exists to innovate and change that reality for the better.”
If you are local to Twin Cities area, please click on this link to meet and mingle with peers and leaders in the industry, learn about Minnesota Blockchain Initiatives including ways to get involved, and listen to a panel of professionals with hands-on experience bringing innovative solutions to market.
If you’re interested in learning more about blockchain or how to get your startup funded at the state and federal level, you should reach out. I would love to hear more and connect you with others working in this space.