Altcoin News: ITIF Released Recommendations on Blockchain Industry Regulation

May 1, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

The Information Technology and Innovation Foundation (ITIF) has issued recommendations to parliamentarians on how to regulate the blockchain industry.

The fund was founded in 2006 to provide the authorities with analytical data, information, and recommendations on the management of new technologies.

In the recommendations presented this Tuesday, the ITIF advises legislators to regulate the blockchain industry on the basis of such principles as neutrality and adoption of technology in the public sector.

Analysts noted that the blockchain will be widely used in cryptocurrencies, smart contracts, decentralized markets, in identifying individuals and determining the authenticity of goods, as well as for data exchange services. At the same time, thoughtless regulation of the industry can harm it.

The manual specifically states that regulating the use of data may interfere with technology deployment. For example, some regulations in Europe do not correspond to the secure nature of transactions in the blockchain. Since blockchains are peer-to-peer networks without intermediaries, it will be difficult to change the data “on the fly” and subsequently, analysts say.

There is also a possibility that users will store prohibited information in the blockchain, but the researchers note that

“current versions of public blockchains are not optimal solutions to storing or sharing illicit or pirated content.”

In conclusion, the ITIF calls for increased support for the fair use and adoption of technology. Authorities need to develop legal regulations in order not to limit the use of the blockchain.

Note that earlier Washington Governor Jay Inslee signed a bill encouraging the use of the blockchain.

Author: Marko Vidrih