Blockchain Technology: Building the Next Generation Digital Economy Infrastructure

Recently, a leader in the blockchain industry testified at a U.S. congressional hearing on the important topic of "The Future of American Innovation and Digital Assets," calling for a clearer regulatory framework for the digital asset market.

This industry leader emphasized that tokens are the core of the operation of blockchain infrastructure. He pointed out that tokens play a crucial role in distributed networks, providing incentives and governance mechanisms to ensure the secure operation of the network. Specifically, tokens have three key responsibilities: protecting network security, participating in decentralized decision-making, and paying transaction fees.

At the application level, the leader listed several real-world use cases of Blockchain technology. From providing on-chain loans to developing markets, to building fan interaction systems, and to putting physical goods on-chain, these applications not only demonstrate the high scalability and combinability of Blockchain but also confirm that Blockchain is becoming the "operating system" of the new generation of the internet.

Regarding developer protection, the leader stated that in order for Blockchain innovation to develop responsibly in the United States, developers need to receive clear and explicit regulatory guidance on token issuance and distribution. He called for the establishment of consistent rules to ensure that Blockchain networks can operate as designed, while American developers can innovate while remaining compliant and competitive.

During the Q&A session, the leader conducted an in-depth discussion on issues such as the actual value and functionality of tokens, financial outreach in remote areas, user privacy protection, and the relationship between Blockchain and agriculture. He emphasized that Blockchain technology can provide offline interaction and online payment experiences for remote areas, while also exploring how to comply with regulatory requirements while protecting user privacy.

Regarding the FTX incident, the leader believes that the lack of clarity in regulation is one of the reasons for the occurrence of the incident. He calls for the establishment of clear legislation to ensure that the developer community stays in the United States, promoting the next round of internet innovation to occur domestically in the U.S.

Overall, this hearing showcased the broad application prospects of Blockchain technology in areas such as financial technology, decentralized identity, entertainment marketing, and global payments. At the same time, it highlighted the importance of establishing a clear regulatory framework, which not only relates to the position of the United States in the global Blockchain innovation competition but will also affect the construction of the next generation of digital economy infrastructure.