Federal Reserve Chair Powell Emphasizes Caution in Regards to a US Digital Dollar
No Need to Worry About a Digital Dollar, Says Powell
In his latest speech, Powell set a tone of cautious deliberation rather than immediate actions.
“People don't need to worry about a central bank digital currency,” Powell reassured.
Powell further clarified the Federal Reserve's stance: “We are nowhere near recommending or adopting a central bank digital currency in any form.”
Trump Spouts CBDC Opposition
Leaked comments from a meeting between Powell and senior Democrats revealed that discussions on a bitcoin and crypto-inspired CBDC are ongoing, with Powell noting that Congress approval would be necessary for any such initiative.
“If we’re going to have a CBDC, Congress needs to authorize it,” Powell conveyed.
The debate over a US digital dollar has engaged policymakers and the political arena. Former US President Donald Trump has voiced staunch opposition.
Trump, reflecting on his potential return to the White House, has promised to block the creation of a digital dollar, citing it as a path to “government tyranny.”
This stance has resonated with his base, as reflected in recent polls showing him leading against current President Joe Biden in a hypothetical 2024 election matchup.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.