Blockchain Legal Definition Would Help Economic Progress, US Lawmakers Saу

Doris Matsui and Brett Guthrie have introduced proposed legislation with the aim to find a consensus interpretation of distributed ledger technology.

A bipartisan duo of US Representatives Doris Matsui and Brett Guthrie has presented a draft bill, demanding a clear legal definition of blockchain in a bid to help economic development, according to an official press release from Monday. The move comes in an atmosphere of bipartisan crypto activity after last week another group of lawmakers urged Securities and Exchange Commission (SEC) Chairman Jay Clayton to issue a clear digital coin guideline.

Democratic Representative Matsui (D-California) and her Republican counterpart Guthrie (R- Kentucky) gave a presentation on the draft, called “Blockchain Promotion Act of 2018.” If it gets enough votes, the act will oblige stakeholders from the Department of Commerce to establish a distributed ledger technology (DLT) working group. Federal authorities should work with the blockchain industry to find a “consensus-based” legal definition of DLT and fill the existing gap in the US laws, the politicians explained.

“Blockchain technology could transform the global digital economy.  Opportunities to deploy [DLT] range from greatly increased transparency, efficiencies and security in supply chains to more-opportunistically managing access to spectrum,” Congresswoman Matsui explained in the statement.

Matsui and Guthrie have a particular interest in the telecommunication industry as they are part of the Subcommittees on Communications, Digital Commerce and Consumer Protection. The act would recommend National Telecommunications and Information Administration (NTIA) and Federal Communications Commission (FCC) to analyze how DLT can help with spectrum deficiencies and reduce costs in the information and communication sectors.

“As our economies become increasingly digital, more organizations are turning to blockchain to keep track of their business transactions. [It] can be a great resource for innovation and technology, but we must figure out exactly what best common definition is and how it can be used,” Guthrie said in the press release.

Last week, Representative Warren Davidson (R-Ohio) organized a cryptocurrency regulation roundtable, as part of his preparation on a draft cryptocurrency bill. Last month, another Republican lawmaker Tom Emmer (R-Minnesota), unveiled three DLT and virtual coin-orientated legislative proposals.