The American central bank (Fed) is still undecided on whether or not to create a digital dollar, and published a report on the subject on Thursday, the first stage of a public consultation.
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The Fed has stressed that it is not taking a position and that this highly anticipated report on central bank digital currencies (CBDCs) does not announce “any imminent decision on whether to issue a CBDC American”.
It’s “the first step in a public discussion … about the potential benefits and risks of a U.S. CBDC,” and the monetary institution has requested a response to a questionnaire by 20 may.
The report states that the Fed “will only take further steps to develop a CBDC if research shows benefits to households, businesses, and the economy as a whole outweigh the risks, and indicates that the CBDC is superior. to other methods.
“We look forward to engaging with the public, elected officials, and a wide range of stakeholders as we consider the positives and negatives of a central bank digital currency in the United States,” the Federal Reserve Chairman said. , Jerome Powell, in a press release.
Faced with existing cryptocurrencies, which can be stolen and used for illicit purposes, the Fed believes that a US digital currency “could provide households and businesses with a convenient electronic form of central bank money, with the security and liquidity that that would imply.
But it could also pose risks and raise questions about how it would affect banks and the availability of credit, but also about “the stability of the financial system and the effectiveness of monetary policy”.
The global rise of cryptocurrencies like bitcoin, and the growing use of digital payments has sparked interest in an official digital currency, and the world’s major central banks are exploring the possibility.
They want to avoid leaving this space to private actors (Facebook participates in the creation of the “Diem”) or to a foreign power. Nigeria launched its own virtual currency in October, while the digital yuan is already in the test phase in China.
The European Central Bank (ECB) initiated its own reflections in 2021. The Bank of England (BoE) is also working on the issue, but the House of Lords does not see any concrete advantage at this stage.
