The Fed is not going to introduce a digital dollar
Jerome Powell, Chairman of the US Federal Reserve System (FRS), said that at present his department is not interested in introducing the digital dollar. The official also commented on all concerns about the CBDC.
Speaking in the US Senate, Powell urged citizens not to worry about the CBDC and clearly outlined the Fed's position:
"People don't need to worry about the central bank's digital currency. But in no case do we recommend or accept CBDC in any form."
The official's statement is a direct response to speculation around the digital dollar. Many are concerned about privacy issues and the overall impact of CBDC on the financial system.
During his speech, Powell dispelled all fears by drawing a parallel with the Chinese digital yuan. He stressed that the Fed does not support the idea of using CBDC as a tool to monitor citizens' transactions.
"The Fed will not tolerate the central bank being able to monitor the financial transactions of individuals."
