This week, on October 19, 2020, US Federal Reserve Chairman Jerome Powell made a statement that may have been missed by many, though it was noticed by some members of the META 1 Coin and cryptocurrency communities. Powell said the Fed is willing to work with the private sector on the possible development and launch of a digital US Dollar, though he emphasized that the US central bank has not yet fully committed to launching one.
At an International Monetary Fund panel, he stated, “We will have lots of conversations with industry and stakeholder engagement, and that’ll help us in our work on digital currencies and cross-border payments.”
It is somewhat ironic that governments who have sought to challenge the legitimacy of digital cryptocurrencies for years through endless investigations and legal actions are now openly admitting to their own self-interest in these matters. As the old saying goes- “if you can’t beat ‘em, join ‘em.”
This is not a new phenomenon. Governments have followed this pattern of initially acting against individuals, to later participating in and controlling the same activities they once sought to curtail. For example, the US outlawed alcohol and actively pursued anyone involved in its illicit trade during Prohibition. After it was repealed, numerous US states, such as Alabama, Mississippi, Pennsylvania, and others decided to control all retail sales of alcohol beverages and have raked in billions of dollars per year in revenue from a trade they once vigorously pursued.
In recent years, various medicinal products which were previously outlawed have been legalized, regulated and taxed by government agencies. And so, it should come as no surprise that governments which have initially pursued unrelenting legal actions and have attempted to aggressively assert jurisdiction to control cryptocurrencies are now exploring launching digital currencies of their own. This pattern is clearly nothing new.
At META 1 Coin Trust, we seek to promote freedom and abundance for Humanity with our gold-backed cryptocurrency, while advancing human rights and individual liberty. While we welcome any warming of government agencies in their approach to digital currency, we also maintain a cautious optimism.
As noted in a prior blog post about the META 1 commission to study global persecution of cryptocurrency, we continue to push back against government overreach and advance the freedoms of crypto coin issuers and holders. History has shown us that unchecked governance leads to tyranny and corruption. Case in point- government agencies that previously pursued bootleggers later became active pursuers of anyone they viewed as violating a myriad of complex alcohol beverage laws in the post-Prohibition era. It is very conceivable that governments who embrace digital currency take a similarly hostile approach to cryptocurrency projects they view as hostile threats and competitors to their newfound interests.
According to Robert P. Dunlap of META 1 Coin, “We sincerely hope that governments’ embrace of digital currency leads to a collaborative and constructive relationship with the crypto community. It would be a welcome change from their previously combative track record.”
Time will ultimately tell how government agencies evolve regarding their approach to META 1 Coin and other cryptocurrencies. The potential launch of a digital dollar is a development worth watching with an eye toward a hopeful future.