This afternoon, the California Assembly Banking and Finance Committee held an oversight hearing regarding “Innovation and Transformation in Payment Technology.” The session took place at the State Capital and was attended by a range of representatives from credit card companies and the cryptocurrency world.

After several panels regarding EMV and other new technologies in the traditional banking system, the final panel covered bitcoin and cryptocurrencies. Jerry Brito of Coin Center, Fred Ehrsam of Coinbase, Chris Larson and Karen Gifford of Ripple Labs attended the hearing.

In regards to his company and cryptocurrency technologies, Mr. Larson shared with the committee that he felt,

[…] the important thing here isn’t the currency. We don’t believe the world needs another currency. The world has plenty of those. The real innovation here is the ability to move money around. […] It is important we address the needs of the banks to move money internationally and domestically.

Mr. Larson also stated that he does not feel a value proposition exists for regular consumer use at this time, but feels the needs of banks can be addressed immediately.

Mr. Ehrsam of Coinbase also gave testimony and statements where he called bitcoin the “internet of value.” He was quick to point out to the committee that cryptocurrency isn’t the “wild-west” it has been painted out to be with federal regulations, the BitLicense, and guidance coming from organizations such as FinCen.

Image courtesey Jon Connell