America, FED, Arkansas discussed on The Breakdown with NLW


Back to the U.S. now in Arkansas the northern Arkansas council has released a statement on Wednesday designed to attract talent to its area. They are offering $10,000 in Bitcoin. Plus, a mountain bike to tech professionals and entrepreneurs who relocate to the region. Nelson peacock, the president and CEO of the northwest Arkansas council said northwest Arkansas is one of the fastest growing regions in the country. And we're now seeing more explosive growth in our tech sector. This expanded incentive offer Bitcoin and a bike not only embraces the growing trend towards the use of cryptocurrency as a payment option by employers, but also helps increase our pipeline of talent to benefit tech employers, startups, cities, local businesses, and the region overall. The press release goes on to say that they're looking specifically for folks in the blockchain space, but certainly aren't restricting themselves to that. This program isn't new. It's an expansion of something that started in November 2020, and which is currently seen 35,000 application from folks in a 115 countries in all 50 states. The program is made possible by a grant from the waltons, which I think is great. And for those of you interested a couple of details to be eligible for the program, applicants must have the ability to relocate to northwest Arkansas within 6 months of acceptance. Have full-time remote employment or be self employed. Additionally, they must currently live outside of Arkansas must be 24 years of older, and must be eligible to work and live in the United States. This of course is a small story on its own, but it's clearly part of a larger trend. Let's zoom out to even a bigger story and this one has to do with the U.S. government as a whole. Central Bank digital currencies are one of the hot button issues right now. They are part and parcel of the stablecoin conversation that has been heating up in Congress and the Senate over the last few months. And in many ways, they reflect a question for the U.S. about what it believes and wants its next generation of global monetary leadership to look like in the world. Is the U.S. going to follow China's route, having a CBDC that doesn't preserve the privacy of cash and which opens up new opportunities for abuse or are we going to go a different route? One congressman Tom emmer has introduced a bill banning the fed from issuing a retail CBDC. The key thing the legislation would do would add a paragraph to section 13 of the Federal Reserve act. That stated, quote, accept a specifically authorized under this act, a Federal Reserve bank may not offer products or services directly to an individual, maintain an account on behalf of an individual or issue a Central Bank digital currency directly to an individual. Emir's thread is important, so I'm going to read it in full. Today I introduce a bill prohibiting the fed from issuing a Central Bank digital currency directly to individuals. Here's why it matters. As other countries like China developed CBDCs that fundamentally omit the benefits and protections of cash, it is more important than ever to ensure the United States digital currency policy protects financial privacy, maintains the dollar's dominance and cultivates innovation. CBDCs that fail to adhere to these three basic principles could enable an entity like the Federal Reserve to mobilize itself into a retail bank, collect personally identifiable information on users and track their transactions indefinitely. Not only does this CBDC model raise single points of failure issues, leaving Americans financial information vulnerable to attack, but it could be used as a surveillance tool that Americans should never be forced to tolerate from their own government. Requiring users to open an account at the fed to access the United States CBDC would put the fed on an insidious path akin to China's digital authoritarianism. Any CBDC implemented by the fed must be open permissionless and private. This means that any digital dollar must be accessible to all, transact on the blockchain that is transparent to all and maintain the privacy elements of cash. In order to maintain a dollar status as the world's reserve currency in a digital age, it is important that the United States lead with the posture that prioritizes innovation and does not aim to compete with the private sector. Simply put we must prioritize blockchain technology with American characteristics rather than mimic China's digital authoritarianism out of fear. There is a lot to unpack here, obviously you have the China narrative and how we don't want to be like them. We have an affirmation of the qualities of cash as something to preserve, not something that was an accident of history to be eliminated. And you also have these Bitcoin style principles built into any future CBDC approach. Remember, accessible to all transact on a blockchain that has transparent to all and maintain the privacy elements of cash. Our community reaction was strong. Nick Carter said the most important thread by a policy maker in some time. CBDCs are incredibly dangerous and it's important that everyone understands why. Jason Lowry, who currently works at space forces, let's take a moment to appreciate the amazing irony of central bankers. Now having to worry about the government banning their CBDCs. The American public rejecting CBDCs is not priced into Bitcoin. Finally, Danielle di martino booth wrote major threat alert. Despite Powell's misgivings representative emmer voices the same concerns as Powell on ensuring the anonymity of any CBDC. Emulating the Chinese is a non starter at least it had better be in America if we're still red blooded. Finally, a last note as we wrapped up, I said at the top of the show that it was a good couple days for Bitcoin. And the last story that I wanted to tell on that front is that Jack Dorsey and his team at block formerly square have decided to follow up with their exploration on building an open Bitcoin mining system. Templeton Thomas tweeted in October, we announced that we were considering building a Bitcoin mining system out in the open and alongside the community and we've decided we're doing it. We thought we'd share some more details of how our initial discussions are going and where we're headed next. We want to make mining more distributed and efficient in every way from buying to set up to maintenance to mining. We're interested because mining goes far beyond creating new Bitcoin. We see it as a long-term need for a future that is fully decentralized and permissionless. We started by digging into two questions. What are customer pain points today and what are the specific technical challenges? We spoke with members of the mining community to learn more about their experiences and here's what we found so far. One availability for most people mining rigs are hard to find. Once you've managed to track them down, they're expensive at delivery can be unpredictable. How can we make it so that anyone anywhere can easily purchase a mining rig? Two reliability, common issues we've heard with current systems are around heat dissipation and dust. They also become nonfunctional almost every day, which requires a time consuming reboot. We want to build something that just works. What can we simplify to make this a reality? Three performance, some mining rigs generate unwanted harmonics and the power grid. They're also very noisy, which makes them too loud for home use. Unsurprisingly, all miners want lower power consumption and higher hash rates. What's the right balance of performance versus other factors? They go on to talk about what they're going to do next. And of course, there are lots of critiques and questions on Twitter. How will you make sure these get to individual customers, not mining companies? How will you make it so that if they're optimized for home use, they won't be just inherently an a priori worse than existing minors? I think that they're of course legitimate questions, but still it's exciting to have another powerful market actor asking these questions and trying to build new solutions. So there it is a good week for Bitcoin, whatever the price had to say, you have adoption. You have the global battle for talent and so much more. I want to say thanks again to my sponsors, nexo IO, abra and FTX for sponsoring the show. And of course to you guys for listening. I hope that you are headed off to a wonderful weekend until tomorrow. Be safe and take care of each other. Peace.

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