Share this article
BTC
$87,340.77
+
2.54%ETH
$1,639.92
+
1.60%USDT
$0.9997
-
0.00%XRP
$2.1210
+
1.88%BNB
$603.20
+
1.47%SOL
$141.01
-
0.16%USDC
$0.9997
-
0.01%DOGE
$0.1610
+
1.45%TRX
$0.2444
+
0.60%ADA
$0.6411
+
1.53%LINK
$13.58
+
3.84%LEO
$9.3985
+
0.84%AVAX
$20.03
+
0.60%XLM
$0.2518
+
2.23%TON
$3.0281
+
1.07%SHIB
$0.0₄1278
+
3.41%HBAR
$0.1717
+
3.31%SUI
$2.2193
+
2.60%BCH
$339.55
-
0.39%HYPE
$18.13
-
1.78%Fed's Brainard Says US Can't Not Have a CBDC in a World in Which Others Have Them
Brainard said without a digital dollar the proliferation of stablecoins could fragment the payment system.
Chief among the reasons the U.S. needs to have a digital dollar is that other countries are racing to issue their own central bank digital currencies (CBDC), Federal Reserve Governor Lael Brainard said on Friday, Reuters reported.
La Suite Ci-Dessous
- Speaking at the Aspen Institute Economic Strategy Group, Brainard said, "The dollar is very dominant in international payments, and if you have the other major jurisdictions in the world with a digital currency, a CBDC offering, and the U.S. doesn't have one, I just, I can't wrap my head around that," according to the Reuters report.
- Earlier this month, Fed Chair Jerome Powell told a House committee a Fed report on CBDCs would come in early September as the central bank decides on the merits of issuing a digital dollar. Meanwhile, China is in the testing stage of its own CBDC.
- Closer to home, Brainard said the proliferation of stablecoins could fragment the payment system without a digital dollar, according to the report.
- A digital dollar could also help people without bank accounts to get government aid such as coronavirus pandemic relief payments, Reuters quoted the Fed governor as saying.
- Separately, Brainard said she doesn't see any signs that currently high inflation readings are pushing longer-term inflation expectations above the central bank's 2% target.
Read more: Jerome Powell: CBDC Report Coming in Early September
Kevin Reynolds
Kevin Reynolds was the editor-in-chief at CoinDesk. Prior to joining the company in mid-2020, Reynolds spent 23 years at Bloomberg, where he won two CEO awards for moving the needle for the entire company and established himself as one of the world's leading experts in real-time financial news. In addition to having done almost every job in the newsroom, Reynolds built, scaled and ran products for every asset class, including First Word, a 250-person global news/analysis service for professional clients, as well as Bloomberg's Speed Desk and the training program that all Bloomberg News hires worldwide are required to take. He also turned around several other operations, including the company's flash headlines desk and was instrumental in the turnaround of Bloomberg's BGOV unit. He shares a patent for a content management system he helped design, is a Certified Scrum Master, and a veteran of the U.S. Marine Corps. He owns bitcoin, ether, polygon and solana.
