California state governor, Gavin Newsom has signed an executive order which aims to create a transparent regulatory and business environment for Web 3.0 companies which harmonises federal and California state approaches.
Under this order, the state will begin the process of creating a regulatory approach to spur responsible innovation while protecting consumers, assess how to deploy blockchain technology for state and public institutions, and build research and workforce development pathways.
Governor Newsom says: “Too often government lags behind technological advancements, so we’re getting ahead of the curve on this, laying the foundation to allow for consumers and business to thrive.”
Dee Myers, a senior advisor to Newsom and director of the Governor’s Office of Business and Economic Development, told AP News: “There’s also a lot of unknowns in the industry and so that’s another reason we want to engage early.”
This order comes after the July 2020 report by the California Blockchain Working Group, which examined the use of blockchain along with its risks and benefits.
The order has seven key priorities, largely focused on regulating crypto assets and related technologies.
“It is critical that we engage early with industry and start learning the pros and cons of innovative technology early,” said Amy Tong, secretary of California’s Government Operations Agency. “We can take the next steps towards getting ahead of the curve and harnessing potential of these tools to make government better.”
This order is in line with President Biden’s digital asset executive order released in March 2022.