This archive report was first published on 15 July 2019.
Don’t Count on Government to Protect Your Privacy ¶
Imagine a world where Congress proposes a law making postage free in the United States, but with a catch: postmasters can open and read your mail. The benefit, they claim, is that they can send you targeted advertisements. Sounds convenient, but not so much if you value your privacy.
Similarly, when it comes to our online identities and data, we shouldn't treat them any differently. Yet, some politicians are calling for government intervention, including breaking up big tech companies like Google or Facebook. But how will this increase security for our data?
Others are advocating for invasive congressional regulation, which can have unintended consequences, such as insulating incumbents and boxing out smaller firms. Even Facebook's CEO, Mark Zuckerberg, acknowledged this possible outcome to Congress a year ago.
Instead of relying on the government to solve market inefficiencies, we should look to the free market for the most compelling responses to our privacy concerns. Technological advancements, such as cryptonetworks, can meet Americans' demands for privacy and provide stronger data security, portability, and control.
Cryptonetworks are decentralized platforms governed by the community of users, rather than by chief executives or small management teams. When you purchase or post something on a blockchain platform, the network verifies your identity using an encrypted key that is permanently and exclusively yours.
Each action is recorded on a distributed ledger, making fraud nearly impossible. Under the current internet framework, users' data is usually controlled by the platform, making us vulnerable to privacy invasions. In a decentralized network, however, our data would be controlled by this blockchain encryption, and users would grant and revoke access to data.
Furthermore, this technology would increase competition, as blockchain makes it easier for anyone to create an alternative platform for communicating or providing some service. With the open-source nature of blockchain technology, a community of users is free to take what they like from an existing platform to a new one if they feel their privacy has been infringed or trust violated.
While the federal government has a role in regulating companies that break the law or violate settlements with consumers or the government, it should not mistakenly turn scrutiny into suppression. In the right 'light touch' regulatory environment, decentralized networks can provide the transparent, secure platforms that respect an individual's privacy and dignity.
