South Iowa News

U.S. Representative Zach Nunn has introduced a bipartisan bill aimed at addressing national security concerns related to China's development of blockchain technology. The Creating Legal Accountability for Rogue Innovators and Technology (CLARITY) Act seeks to prevent the U.S. federal government from using blockchain technologies developed by China and other foreign adversaries, thereby blocking potential access to sensitive information.

Nunn, representing Iowa's 3rd district, emphasized the urgency of the matter, stating, "Within the next decade, every American will have sensitive, private data stored using blockchain technology. China’s heavy investment in this infrastructure poses a colossal national security and data privacy problem." He warned that failure to act could lead to severe consequences.

The legislation is co-led by U.S. Representative Abigail Spanberger of Virginia's 7th district. Spanberger highlighted her background as a former CIA case officer to underscore the risks posed by China's state-controlled blockchain network. She stated, "Xi Jinping has made blockchain a national priority — as well as maintaining control of the information hosted on their network."

China has been heavily investing in various emerging technologies such as artificial intelligence, quantum computing, and particularly blockchain technology through its Blockchain-based Service Network (BSN). This initiative aligns with Chinese President Xi Jinping's directive for China to capitalize on opportunities presented by these technologies.

Blockchain technology is expected to transform data privacy significantly over the next decade with its integration into cloud storage platforms. However, Nunn and Spanberger warn that using China's BSN could expose critical information like social security numbers and passwords to Chinese surveillance.

The CLARITY Act aims to safeguard American intellectual property and national security by ensuring that U.S. government infrastructure does not incorporate technology from foreign adversaries. The bill proposes specific measures including preventing the use of Chinese-developed blockchain networks and directing key U.S. officials to formulate plans against these technological threats.