A recent development at the intersection of cryptocurrency and national security has emerged from the U.S. Space Force. Jason Lowery, a member of the United States Space Force and a national defense fellow at the Massachusetts Institute of Technology (MIT), has presented a compelling argument. He advocated for the strategic use of proof-of-work (PoW) systems, such as Bitcoin, to strengthen the United States’ cybersecurity defenses.
In a detailed four-page letter addressed to the U.S. Defense Innovation Board on December 2, Lowery emphasized the underappreciated potential of Bitcoin beyond its conventional role as a monetary system. He highlighted its capability to secure various forms of data, including messages and command signals, which is often overlooked due to the predominant financial perspective of the cryptocurrency.
Lowery addressed his letter to the Defense Innovation Board, an independent advisory body. This board focuses on integrating Silicon Valley’s technological innovations into the U.S. Military. In his correspondence, he urged the Secretary of Defense to consider the national strategic importance of PoW systems.
He drew parallels between the physical security strategies employed in traditional military domains and the digital deterrence potential of PoW systems. According to Lowery, the resource-intensive nature of these systems could act as a deterrent against cyberattacks, mirroring the role of military assets in conventional warfare.
The potential applications of Bitcoin in cybersecurity are vast, Lowery argued, suggesting that it could be crucial for the U.S. to maintain its “global superpower” status, especially in a world increasingly vulnerable to digital threats. He referred to this approach as the beginning of a “cybersecurity revolution,” transforming the global electric power grid into a macrochip to constrain malicious cyber activities.
In a related discourse, Brian Armstrong, CEO of Coinbase, shared his insights on December 3, focusing on the broader implications of cryptocurrencies for the U.S. economy and global influence. Armstrong proposed that Bitcoin and other cryptocurrencies could bolster the U.S. dollar’s dominance rather than undermine it.
He suggested that in the face of potential inflation and currency devaluation, cryptocurrencies offer a viable alternative, potentially safeguarding long-term American interests. Armstrong also touched upon the role of U.S. dollar-backed stablecoins, like USD Coin (USDC), in bridging the gap between traditional and digital currencies, thereby unifying these financial worlds.
