The Blockchain Promotion Act has been Approved by the U.S. Senate Committee

U.S. Congress has started to move forward with blockchain technology, with the Senate Commerce, Science and Transportation Committee approving the Blockchain Promotion Act this Tuesday, CNET reported on July 11.

The Blockchain Promotion Act is a bipartisan legislation that will direct the Department of Commerce (DoC) to come up with a definition of blockchain at the federal level and set the framework for future regulation of the technology. It will also establish a blockchain working group within the DoC, with members of this group representing non-government stakeholders and federal agencies that could use blockchain technology. Representative Doris Matsui, a Democrat from California, said in a statement:

“This bipartisan, bicameral bill will bring a broad group of stakeholders together to develop a common definition of blockchain, and, perhaps even more importantly, recommend opportunities to leverage the technology to promote new innovations.”

According to the CNET article, U.S. lawmakers have already identified the opportunity that blockchain technology presents i.e. to make government functions more efficient. The DoC blockchain working group will do just that, explore blockchain in order to help government agencies deliver services, prevent tax fraud, eliminate bureaucracy and reduce waste. Senator Ed Markey, a co-sponsor of the bill, said in a statement:

“Blockchain is an exciting new technology with great potential and promise. This legislation will help further understand applications for this technology and explore opportunities for its use within the federal government.”