How blockchain and distributed registry technology can help stabilize the economy
Due to the difficult time, the US is looking for various options to support the economy. A bill to allow the use of blockades and DLTs to stabilize the situation is before Congress. A number of MPs have already supported the innovations, believing that distributed register technology will help improve the functioning of the Treasury Department.
The coronavirus pandemic has undermined the stability of the American economy, and unless urgent action is taken, the situation could worsen. Therefore, the authors of the proposal believe that it is necessary to take advantage of modern developments in the field of digital payments.
The use of such technologies as Blockchain and DLT will facilitate a number of processes for the U.S. Treasury, for example, tracking cash flows or deliveries. If we combine the capabilities of the Blockchain and DLT methods, we can improve the efficiency of economic stimulus measures and make the work of the country’s main regulatory body as useful as possible.
The presented draft law has an accompanying letter, where its authors explain why it is worth paying attention to these methods of financial market stabilization. According to specialists, such modern technologies are excellent tools that will speed up money transfer processes several times. In addition, Blockchain and DLT will allow to improve operations on distribution of finance in one or another industry.
An important goal for the U.S. Treasury Department is to help small businesses and citizens of the country, and it is necessary to do this in a short time before the consequences of the pandemic have become even more serious. The government must take care of small businesses that are going through difficult times and of people who were left without jobs and livelihoods during quarantine. In addition, the health sector needs to be modernized and security measures and supervision of all norms to prevent outbreaks of the epidemic should be strengthened. The use of modern technology would also be appropriate in this case.
The use of Blockchain and DLT at the government level will allow the U.S. to maintain a leading position in the global marketplace as countries with advanced technological innovations that help sustain an economy even in such difficult times. With DLT technology, businesses and citizens in need receive timely financial assistance, without additional bureaucratic steps or delays.
It should be noted that the U.S. is not the first country that plans to use innovative solutions for safe money transfer for national purposes. Blockchain and DLT are being applied by the Chinese authorities, and this is already having a positive effect on the economy. An important advantage of these technologies is the security of data transfer, and if you combine them with the experience of artificial intelligence can increase the efficiency of distribution of financial flows.