Now more than ever, there is a need for direction in employing Web3 into American society for policymakers.

 

The United State of America is known for its progress, opportunity, and inclusion. It is only now that policymakers in the US are recognising how Web3 can fit into these values and the benefits it can bring to the country. Policymakers are particularly concerned about the technological issues the US is facing, in particular: fraud, illicit use, unsustainable energy consumption and systematic risk.

Now more than ever, there is a need for direction in employing Web3 into American society for policymakers. Web3 systems can be more inclusive, equitable and more resilient than Web2 due to its decentralized nature and is forecasted to be a huge benefit for American politics.

 

The US’s Current Economic System

The impact of Covid-19 left many federal governments making major investment in struggling American citizens. Yet, as a fault of this, the American financial systems are leaving far too many desperate people waiting weeks or months for help to arrive, leaving them in a destitute space.

Alongside this, existing systems have proven shockingly vulnerable to exploitation by foreign organized crime rings, in which billions of dollars of taxpayer’s money has been stolen due to exploitation of America’s weak financial architecture. However, the benefit of Web3 technology would protect America from these issues, and tools like stablecoin and digital identity would be able to enable efficient distribution of aid to these working families and protect systems from exploitation by foreign criminals.

 

The Importance of Policymakers Embracing Web3

Some of the most credible alternatives for reshaping and redeeming institutions have fallen short over the last few decades, such as Big Tech and Wall Street Banks. However, with Web3 infrastructure, what comes with these can be easily resolved if handled and implemented appropriately. This new digital infrastructure could help realize goals that policymakers were not able to make, such as expanding access to consumer finance products.

In line with this, policymakers would need to develop thoughtful regulatory frameworks in this space that would protect consumers from bad actors and ensure stability and integrity of our financial system. If proper care and thought is taken when deciding how to use these tools, policymakers in the US will be able to move towards a new renaissance of economic activity.

 

Proper Web3 Implementation 

Web3 is a vital resource in unlocking social change and promote economic growth for the US economy. However, without a well-conceived public policy framework that recognises the wide diversity of the Web3 ecosystem, we are unable to realize the benefits of decentralized digital transformation.

If this is unachievable other countries would set incorrect standards that define the next generation of global technology, and we would be unable to apply lessons learned from the failures of the likes of Big Tech and Wall Street to implement a new vision for the role we want out technology to play in people’s lives.

 

Home to innovation, imagination and independent thinking, America should be taking advantage of all the benefits Web3 has to bring. The success of the country has been anchored in the practice of decentralization and with Web3, the US’s success is set to skyrocket. Independent actors in the US will be able to deliver outcomes that were better than what could be achieved by concentrating power in the hands of the few.

 

Date: 28/7/2022

Source:  'Why US Policymakers Should Embrace Web3', Tillemann & Rathmell, 2021