The US Home Armed Providers Committee’s newest Nationwide Protection Authorization Act (NDAA) draft for fiscal 12 months 2025 contains important provisions for exploring blockchain know-how’s function in nationwide safety and protection purposes. A committee-approved draft was despatched to the total Home for consideration, and the Senate Armed Providers Committee superior it to the Senate flooring on July 9.
It states,
“The committee acknowledges the potential makes use of of blockchain know-how for broader nationwide safety functions inside the protection panorama.”
The primary point out of blockchain know-how within the NDAA occurred within the fiscal 12 months 2018, denoting the preliminary recognition of this know-how inside nationwide protection laws. Throughout that 12 months, the US Home of Representatives added two blockchain-related amendments to the annual protection spending invoice. These amendments directed the Division of Protection (DoD) to discover blockchain know-how’s potential offensive and defensive cyber capabilities and to report again inside 180 days.
The DoD fulfilled this requirement, producing a report analyzing blockchain’s cybersecurity capabilities, assessing its use by the US Authorities and demanding infrastructure networks, and evaluating their cyber-attack vulnerabilities. This indicated a rising governmental curiosity in making use of blockchain know-how for functions similar to cybersecurity and provide chain administration.
Blockchain for protection
This month, the Senate Armed Providers Committee has continued to discover blockchain know-how’s potential for nationwide safety and protection purposes. The committee’s FY 2025 NDAA report contains directives associated to blockchain, recognizing its potential to boost the cryptographic integrity of protection provide chains, enhance information integrity, and cut back dangers of information manipulation by adversaries.
The Secretary of Protection has been instructed to research blockchain use instances for nationwide safety targets, specializing in safe, clear, accountable, and auditable information associated to produce chains. A briefing on these purposes is required by April 1, 2025.
This briefing is particularly to cowl a number of key areas:
- An evaluation of the advantages and dangers of implementing blockchain in provide chain administration.
- An evaluation of the present state of blockchain adoption inside the DoD and the protection industrial base.
- A plan for pilot applications or analysis initiatives exploring blockchain’s use in nationwide safety purposes similar to provide chain administration and cybersecurity.
- An evaluation of blockchain analysis and growth actions by overseas international locations, significantly China and Russia.
- Organizational suggestions to foster blockchain growth inside the DoD, together with the feasibility of making a coordinating workplace or middle of excellence.
- Suggestions for legislative or regulatory actions to boost provide chain transparency and audibility by means of blockchain know-how.
The Division of Protection had already been exploring blockchain purposes, culminating in a 2024 contract with blockchain startup Constellation. This initiative marked a big step in using blockchain to boost the cybersecurity of backend methods and safe information switch throughout Protection Transportation System industrial airlift companions.
Bitcoin for offense
Along with its ongoing exploration of blockchain purposes, the Division of Protection could quickly think about Bitcoin as a part of its strategic initiatives. Jason Lowery, the writer of “SoftWar: A Novel Principle on Energy Projection and the Nationwide Strategic Significance of Bitcoin,” revealed that members of Donald Trump’s marketing campaign administration have sought his experience on Bitcoin.
Lowery has highlighted Bitcoin’s potential for nationwide safety and proposed the formation of a “US Hash Power” involving businesses just like the Division of Vitality (DoE) and the Division of Protection (DoD). Particularly, he means that the US Cyber Command (USCYBERCOM) or the US Strategic Command (USSTRATCOM) set up a Mixed Hash Power Element Command (CHFCC).
This initiative would contain collaboration with FVEYE and NATO international locations to counteract digital warfare efforts by adversaries similar to Russia and China. This proposal aligns with the Senate Armed Providers Committee’s directive to research blockchain use instances for nationwide safety, reflecting a broader governmental curiosity in leveraging blockchain know-how for protection and cybersecurity.
Present administration function in blockchain adoption within the army
The current directive from the Senate Armed Providers Committee highlights a rising recognition of blockchain’s potential in army and protection purposes. The committee’s proactive stance contains plans for pilot applications, assessments of blockchain’s advantages and dangers for provide chain administration, analyses of its present adoption in trade and by overseas international locations, and feasibility and value estimates. This evolving exploration displays a strategic push towards leveraging blockchain know-how for improved nationwide safety and protection capabilities.
Whereas the SEC has been allowed to control by means of enforcement, the sitting authorities has performed a notable function in advancing the adoption of blockchain know-how inside the protection sector. By legislative actions, strategic contracts, and cross-agency initiatives, the federal government has laid the groundwork for integrating blockchain know-how into nationwide safety and public service operations.
The Senate’s directive to discover blockchain for army purposes, the adoption of army contracts with blockchain firms, and the Home’s passage of the FIT 21 invoice point out legislative help for blockchain know-how on this space. Nevertheless, digital belongings working on blockchain have a much less apparent future below the Democrats than the Republicans following the brand new RNC platform for 2024.
