A step in the right direction !!! “Like with the physical infrastructure of this country, if you don’t modernize and keep up with the times, those strengths will begin to fray.” https://t.co/XcSqyHfhE8 — Raj Popli (@jiffy1) January 17, 2020
Giancarlo, who earned the “Crypto Dad” moniker for advocating a “do no harm” approach to blockchain regulation, is now setting up a think tank called the Digital Dollar Foundation to promote the idea of digitizing the U.S. dollar.
On January 16, it has been reported by The Wall Street Journal that the ex-CFTC Chairman is establishing the non-profit foundation to study prospects for converting the dollar into a “fully electronic currency based on blockchain,” the underlying technology of Bitcoin (BTC).
However, the initiative will be promoting research and exploration of potential benefits presented by digitizing the U.S. dollar and is expected to launch later on January 16.
The report notes that both the new foundation and Giancarlo’s Digital Dollar Project are supported by Accenture PLC, the global consulting giant.
In December 2019, Sweden’s central bank revealed its plans to partner with Accenture for its own digital currency known as the e-krona.
It has been analyzed that other founders of the Digital Dollar Foundation include Daniel Gorfine, a former CFTC official, who led the regulator’s Fintech research, and Giancarlo’s brother Charles Giancarlo. Charles previously worked at international tech and IT firm Cisco Systems and private-equity firm Silver Lake Partners.
The company representatives reportedly said that while the Giancarlos and Gorfine are providing the initial funding for the foundation, Accenture will focus on providing research as well as logistical support.
Likewise, Giancarlo, who first proposed his digital dollar initiative in October 2019, emphasized that the U.S. risks losing its global economic leadership if it falls behind China, which is smoothly progressing with its digital yen project. In an interview with the Wall Street Journey, Giancarlo stressed that his foundation was a non-profit and targets advancing U.S. national interests.
“Like with the physical infrastructure of this country, if you don’t modernize and keep up with the times, those strengths will begin to fray.”
As Giancarlo argued in October, the U.S. needs to create the digital dollar because the traditional dollar could lose its status in the future due to countries rolling out digital currencies.
Thus, he said at the time:
“Significant actors, including central banks and social media platforms, may launch new currencies in the next few years. As their networks grow, they could eventually erode the dollar’s status as the most popular currency for international exchange.”