This is the Cato Daily Podcast for Tuesday, November 19th, 2013.

I'm Caleb Brown.

Bit coin was centered stage on Capitol Hill yesterday,

the tone for members of the US Senate,

respectful, perhaps owing to the fact that the future of the

decentralized digital currency doesn't have to be in the U.S.

Jerry Brito is author of Bitcoin, a primer for policy makers, and a senior research fellow at the Mercatus Center he

testified yesterday. He comments on the future of Bitcoin. I think a lot of people

were surprised at how receptive these members of the Senate were to this idea of allowing

Bitcoin to proceed essentially unencumbered with some regulation as we would treat other money transmitting

services but largely very respectful. I have to say I'm a little surprise but

not too much, right?

So I had been talking to the committee that held the hearing for some time and they seemed to get

it almost immediately that this was an innovation that holds great potential and they didn't want to

kill it as they address some of the risks and I think you could see that in the

title of the hearing which was Beyond Silk Road I think all the media focused on

oh my god the title has Silk Road. I think all the media focused on, oh my God the title has Silk Road in it, but they forgot the beyond part. It seems like they wanted to get beyond Silk Road and focus on the innovative potential.

And the point that you make that I think a lot of people still don't really get is that

if you're going to choose a currency to engage in illicit practices,

Bitcoin's not it.

That's absolutely right.

And I was very harden to see that the Secret Service

...