Draper: governments should not try to compete with Bitcoin
Tim Draper sends an open letter to Prime Minister modi and the Indian government. The 1.027 words comprehensive letter that was published on Wednesday, provides Draper’s formula, how can the prosperity of the country without sacrificing the freedom of citizens to restrict.
The billionaire and venture capitalist writes (freely translated):
There is a simple formula for the wealth of a Nation. It reads: freedom, Fairness, and Smoothness. Each of these Lessons and work to their full Potential, if it is not to be restricted – freedom is maximized when there is a Minimum of regulation; Fairness and without bias in the government and smoothness without trade barriers.
In line with these three values from calls Draper three steps of the Indian government, one of which was the restriction of the currency Bitcoin.
Bitcoin, the Blockchain and smart contracts have the potential to transform some of the largest industries in the world, and for the next 40 years will be determined by what happens today. Governments that create technological progress, such as Bitcoin, are in danger of to stay on track.
Imagine what would have happened with countries that allow the Internet. Bitcoin promises to be 10 times as large as the Internet.
In April 2018 to ban the Reserve Bank of India businesses and citizens to participate in Bitcoin or other crypto-currencies. The country is also considering a draft law, which provides for a 10-year prison sentence for anyone caught in the breakdown, the production, possession, sale, Transfer, issue, trade, or disposal of crypto-currencies. While India occupies currencies an extreme abneigende Position in relation to Crypto, working with other countries hard to create the regulatory framework to the emerging industry.
The venture capitalists Draper, who invested love in Startups which have revolutionized the industry, such as Skype, Tesla, SpaceX, and Robinhood, indicates that he had throughout his career, the Finger on the pulse of change.
I tend to be a pioneer for the VCs, since I was the first Silicon Valley VC to invest in China, and many VCs have followed my example, after the successful IPO of Baidu.
Despite his appreciation for India and the Connections that he has built up by his father, of the risk capital in local companies in the country invested, warns Draper that the second population will not remain the richest country in the world, if the government thinks ahead and decides, instead, to overlook the powerful Blockchain technology.
If you want your people to thrive, they create a simple, fair rules for all and then they’ll let you. Freedom is a big thing for venture capital. More rules and restrictions will create more corruption, more friction. Whereas fewer restrictions allow people to be innovative and to create.
Draper plans to be at the beginning of March in India for its Networking Event, where he will check Startups and modes will be meeting to discuss his plans for the country.
Featured Image: Immersion Imagery | Shutterstock
