It’s ‘Critical’ Crypto Innovation Stays in U.S., Former White House Adviser Says
Crypto innovation going overseas could be a threat to U.S. national security, said Carole House, former director of cybersecurity and secure digital innovation at the White House and co-author of President Joe Biden’s executive order on crypto.
“Driving any of the actors in cryptocurrency and other financial markets to have centers of gravity outside of the United States is also counter to U.S. national security objectives,” House told CoinDesk TV’s “First Mover” on Monday.
It is also important that crypto and financial innovation stays under the guidance of U.S. regulators, she said.
“It's critical to be able to not only enforce against actors that are acting poorly, but also to provide very clear paths under supervision so that we can encourage the innovation to happen here,” House said.
House, who is chairwoman of the Commodity Futures Trading Commission’s new Technology Advisory Committee, said her committee is trying to figure out the “practical reality of what the developments in the technologies look like [and] where the greatest risks are.”
By getting a better handle on the emerging technologies, House said, the committee may be able to give the CFTC more concrete recommendations on regulatory frameworks and policy guidelines.
“The U.S. financial system really sits at the heart of so many parts of the toolbox of U.S. national security tools and capabilities,” House said. “Anything that potentially weakens the sector could be a concern.”
Ahead of the committee’s first meeting on Wednesday, the group will discuss technology policy, the legal implications related to decentralized finance and artificial intelligence and cybersecurity for commodity and derivatives markets, she said.
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