Fed Chair Says Digital Dollar Still “A Long Way Away” – What Now?

As part of his review of congressional testimony, Federal Reserve Chairman Jerome Powell provided unexpected insight into the future of central bank digital currencies (CBDCs). Contrary to expectations, Powell took a cautious stance and suggested that the creation of a CBDC in the United States is not imminent. In a congressional hearing, Chairman Powell was asked if he still agrees that the Federal Reserve cannot issue a central bank digital currency for the United States, saying: "". Without congressional approval, he commented.

What is the ambiguity?

The Federal Reserve chairman reiterates that a digital version of the dollar is still a long way off and says there is no way for the Federal Reserve to respect the structures that give the central bank information about how individuals use their money, he assured lawmakers. . "That's the Chinese system," Powell said. The International Monetary Fund (IMF) has previously highlighted the vulnerabilities of CBDCs and the risks to financial systems and data collection. #CBDC's #Bitcoin