Power Struggle Over Emerging Tech Regulation Shifts to Courts and States as Congress Stalls

Congressional inaction on emerging technologies is shifting power to courts and states to make decisions. This leads to fragmentation and inconsistent rules.

The potential fall of the Chevron doctrine will reduce judicial deference to federal agencies. This gives more power to courts but increases fragmentation.

Agencies are increasingly using "regulation by enforcement" by turning to courts to establish policies. This is notable in digital asset regulation.

Judges, state legislators, and state agencies should prepare by improving tech education, hiring technical experts, and eliminating silos.

The legal system faces a major challenge managing this power shift. It must create clear, consistent rules on emerging tech or risk innovation bypassing the U.S.