The Federal Reserve of the US to Publish Discussion Paper on CBDC

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The Federal Reserve of the US, the country’s central bank, has just announced it will release this summer a public discussion paper on the use cases of a central bank digital currency (CBDC).

According to the institution, the paper will allow it to collect additional information that will be used to complement the regulator’s current research.

Jerome Powell, the chairman of the Fed, has said that the main goal of the institution is to foster financial stability and make sure the payments system is efficient. As part of this task, the bank is “monitoring and adapting to the technological innovations now transforming the world of payments, finance, and banking.”

Powell has highlighted that a potential CBDC would coexist with fiat money, but would not replace it.