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FED Member Brainard Made A Statement on Digital Dollar

FED member Brainard made a statement on digital dollar. Brainard noted that the digital dollar should be complementary.

FED Member Brainard Made A Statement on Digital Dollar
Yazar: Eylem Özer

Yayınlanma: 24 Mayıs 2021 22:04

Güncellenme: 6 Kasım 2024 13:30

FED Member Brainard Made A Statement on Digital Dollar

FED member Brainard made a statement on digital dollar. Brainard noted that the digital dollar should be complementary rather than replacing the current money.

FED (US Federal Reserve) Board Member Lael Brainard reported that while the demand for digital payment systems is increasing, the FED has accelerated its search for the digital dollar. Brainard stated that the increasing role of digital currencies, the use of digital currencies in cross-border payments and financial coverage have attracted the attention of the FED. Brainard, who has been tracking Bitcoin and other digital assets as an investment tool for the past year, has been critical of stablecoins and other non-regulated assets. Brainard stated that any digital currency plan should be complementary, said, "The introduction of a new style of private money can lead to many different risks in payment systems. This can lead to threats to consumer protection and greater financial stability problems." In a statement last week, FED Chairman Jerome Powell said that the FED will publish a research report on the digital dollar this summer. Stating that cryptocurrencies cannot be a suitable payment tool due to their volatility, Powell pointed out that stablecoins should be controlled more by regulatory agencies.
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