Chris Giancarlo, the former chairman of the Commodity Futures Trading Commission(CFTC), is one of the few regulators to have served under both the Obama and Trump administrations. His latest venture the Digital Dollar Foundation is working towards five pilot programs in partnership with Accenture, as part of its broader attempts to help the United States surpass China in digital currency innovation.
In a recent interview, Giancarlo discussed the prospects of a Central Bank Digital Currency(CBDC) and what the US needs to secure an edge in this race.
The former regulator opined that China will use the digital yuan to increase its surveillance activities. He urged authorities in the US to take note of this and ensure that principles guiding the country’s free markets are preserved.
While emphasizing that the US cannot allow itself to follow the Chinese, Giancarlo stated:
However, the race to become the first country to adopt a CBDC isn’t limited to a nationalistic agenda. Digital currencies powered by smart contracts also have the potential to solve “the old problem of being able to move it in place, i.e. moving around the globe as easily as you could send a text message, but also move it in time.” In Giancarlo’s view, this feature makes digital currencies a “powerful construct”.
Giancarlo concluded the discussion by saying that it’s natural for a society that “expects investor protections and a role for government” to work towards innovation and it's a process that he's "very excited to be involved in".