Canada’s crypto coronation – POLITICO

With help from Derek Robertson

On Saturday, when King Charles III was proclaimed king in Londoncrypto supporters toasted a different kind of order in another corner of the Commonwealth.

In Canada, Pierre Poilievre, a vocal proponent of blockchain technology, was elected leader of the Conservative Party, putting him at the forefront of the opposition to Justin Trudeau’s Liberal government.

The 43-year-old has said Canadians should have access to Bitcoin as an alternative to the official currency, opposed the development of a digital central bank currency and proclaimed his intention to make the country a hub for blockchain businesses. In March, he used Bitcoin to buy a shawarma from an Ontario restaurant whose owners have embraced the digital currency. He too owns shares of a Canadian Bitcoin ETF, according to his personal financial disclosures.

Poilievre’s ascension makes him one of the world’s most visible political leaders to embrace crypto, placing him alongside El Salvador’s authoritarian president Nayib Bukele. It also cements ties between crypto and the populist right, which has given a disproportionate share of support to the technology.

Earlier this year, Poilievre distinguished himself from rivals in his party by backing Canadian truckers who staged disruptive protests against the country’s strict Covid lockdowns. That episode illustrated crypto’s political ramifications: When the Canadian government froze bank accounts linked to the protests, the movement’s supporters began using cryptocurrency instead.

Positions such as his support for crypto and the truckers, as well as a pledge never to send ministers to attend the World Economic Forum in Davos, have allowed Poilievre to channel populist discontent.

But in a country that places a premium on politeness, they have also given the liberals an opening to paint the opposition leader as “reckless”.

“Anyone who followed Mr. Poilievre’s advice could have had their savings ruined,” Liberal Party communications director Parker Lund told DFD, referring to the opposition leader’s crypto endorsement.

For crypto’s English-speaking supporters, Poilievre’s election provides something of a consolation prize after Liz Truss defeated an avowed crypto champion, Rishi Sunak, in the Tory leadership contest last week, securing her place as UK prime minister. (As for Britain’s new king, in 2019, the then Prince Charles, after appearing momentarily confused by shouted questions about blockchain, calling it a “very interesting development.”)

But those who want to see Canada turned into a crypto paradise will probably have to wait for their chance. The country’s next federal election, when Poilievre is expected to challenge Trudeau, is not scheduled to take place until 2025.

As for Poilievre’s place as crypto’s reigning political poster child, it should be secured at least until November, when pro-crypto Republican Senate candidates like 36-year-old Blake Masters of Arizona and 38-year-old JD Vance of Ohio will be on. the ballot in the US midterm elections, giving them a chance to usurp that title.

It’s hard enough to avoid scams on the internet, and the metaverse could not be different.

A pair of forensic accountants at the Université du Québec à Montréal recently investigated some of the the potential risks on the nascent virtual platform, citing the ease and lack of transparency around data trackingthe well-known risks surrounding the integration of crypto and NFTs into the virtual world, and the use of biometric data for marketing without permission.

They also present some potential solutions for both public regulators and private actors, including:

• A comprehensive “Metaverse Act” to cover the types of unique transactions and interactions that occur in a virtual space
• Require private companies to disclose their metaverse risk mitigation efforts
• Cross-platform regulations that would set explicit, shared “community standards” for users
• Creates a more robust mechanism for notification than those currently existing in technology

“Doing (x), but for the metaverse” may sound a bit like reinventing the wheel. But with the repeated failures of the systems meant to prevent fraud and other abuse on the internet as it currently exists, it’s not surprising that watchdogs in academia are issuing advance warnings for the next potential iteration. — Derek Robertson

One of the best-known features of Web3 is the sense of “community” it fosters, allowing like-minded technologists and entrepreneurs to build their own digital ecosystems and even forms of institutional governance.

What happens when things go terribly, terribly wrong?

VoxRebecca Jennings reported yesterday on rise and fall of “Launch House” – a common living space for start-up entrepreneurs, many in the Web3 area, which quickly developed into anarchy and alleged predatory behavior. Female members of the cohort alleged sexual harassment and assault; the police visited the property to investigate a physical assault; members accused the community’s founders of a flagrant neglect of responsibility and oversight. (Launch House denies the claims.)

Venture capital firm Andreessen Horowitz led one Funding round of 12 million dollars for Launch House in February this year – a vote of confidence in its ability to build community. The fundamentally libertarian promise of the “decentralized” Internet—that it will enable societies to form largely independent of traditional institutional oversight, effectively governs itself — is, like our tough old liberal social contract, only as viable as those who assume responsibility for that governance. — Derek Robertson

• A prototype of Meta’s new VR headset has leaked… allegedly because someone left it in a hotel room.
• The FTC gets more proactive on AI regulation.
• The future of self-driving cars may involve sustained human interaction.
• Democratic senators have sent a letter to Meta grilling the company on how it fights crypto fraud.
• John Deere is rolling out a fleet of self-propelled tractors this year.

Keep in touch with the whole team: Ben Schreckinger ([email protected]); Derek Robertson ([email protected]); Konstantin Kakaes ([email protected]); and Heidi Vogt ([email protected]). follow us @DigitalFuture on Twitter.

Ben Schreckinger covers technology, finance and politics for POLITICO; he is a cryptocurrency investor.

If you have had this newsletter forwarded to you, you can sign up and read our mission statement on the links provided.