The Chairman of the Federal Reserve System (FRS) Jerome Powell announced the possibility of issuing CBDC and reminded that it is more important to do it correctly, and not to compete with others.
Powell said in an interview on CNBC that the success of other countries in developing digital currencies has not changed the Fed’s attitude.
“We will see CBDC. But we must not rush because others have taken the lead , ”he explained.
A more important criterion, in his opinion, is how the digital dollar will help ordinary citizens and will be integrated into the financial system.
The Fed chief expressed doubts that the digital yuan model is applicable to the United States. It “just won’t work here,” he said, as the Chinese government has the ability to see every payment in real time.
“It has more to do with what is happening in their own financial system, and not with what is happening at the global level, ” explained Powell.
The Fed chairman in his speech referred to a report by the Bank for International Settlements (BIS), which argues that CBDC should coexist with cash and other types of money.