Hello! Friends,
Today is a thought and discussion I heard with some of my friends in a group and I ask why is the US far lagging behind in Blockchain Technology? Is it that the technology is not their interest or some else attached to this technology yet reveal to us?
Pixabay: Cryptocurrency Adoption
If we consider the improvement blockchain technology has done to businesses and crypto space we can say it is one of the latest technology providing a solution in areas of privacy and helping out to cut out third parties in the system. The improvement has passed through many countries and some big industries like IBM and Facebook are looking into how they can be part of this technology by introducing the technology into their operational system. With this growth about Blockchain Technology, the US is still far behind and any start-up business along blockchain technology in the US suffer adoption. Do you ever think about the reason behind this?
From my review, I conclude on two important factors that might be the reason behind the US lagging as far as Blockchain Technology is concerned.
Quickly let's get out these two factors and see if these factors can be eliminated or reduce otherwise the adoption of this technology will still be the issue in the US.
Over times, we keep seeing many projects not been supported by the US government and the government also is not helping the matter to send out a clear regulation that supports the blockchain technology. We have the record of some country with a clear statement as far as regulation is concerned and that's why start-up business is growing and give platforms for blockchain technology to grow in such countries. Example of this country is Japan. I also learned of Switzerland government offers support to any startup ICO just for them to comply with their regulations.
Today, the US is still not yet clear the ground on their stand as far as where to classify cryptocurrency and this is really affecting the adoption and startup businesses in areas of cryptocurrency. Should the US come out with a clear regulation for cryptocurrency and blockchain technology I feel there will be a rise in adopting cryptocurrency in the US.
The Internal Revenue Service is one of the regulations that need to put in place but the US government not ready to establish one. They are still thinking of what category will cryptocurrency fall into? Although, I learned that some years back they try to classify cryptocurrency as property even other digital assets too classified as property and they claimed that it must be subjected to capital gains tax. Now, you as a start-up in cryptocurrency business got this information and you reside in the US with a mind of creation of a project that follows an ICO for crowdfunding must be ready to pay huge tax on such business. This has made many business ideas run from the US and start-up new business or project in any country to cut out this factor. I feel its high time for the US to come out and reveal there stand on which category they actually wanted to classify cryptocurrency and other digital assets for clarity sake, this will make many new businesses along cryptocurrency emerge knowing that there is support from the government.
On a lighter note, I believe that the US has a volume of areas available to promote the growth as far as blockchain industry is concerned and it requires the cooperation between the Federal agencies and start-ups individuals to come to agreements and publish the new rules couple with guidance that will help the blockchain industry to grow. Without the clarity of this rule, it is very possible the US will continue in their lagging as far as Blockchain Technology Is Concerned.
