NEWS ZAP Federal Reserve governor says private stablecoin | ⚡️ ALTUS.FINANCE ⚡️

NEWS ZAP

Federal Reserve governor says private stablecoins are likely better than CBDCs


In a speech before the American Enterprise Institute on Aug. 5, Federal Reserve governor Christopher Waller expressed doubt about the touted benefits of a central bank digital currency (CBDC).

"I remain skeptical that a Federal Reserve CBDC would solve any major problem confronting the U.S. payment system," said Waller. He cited a fairly free market principle as his rationale: "In general, the government should compete with the private sector only to address market failures. This bedrock principle has stood America in good stead since its founding, and I don't think that CBDCs are the case for making an exception."

Stablecoins have, however, proven controversial. "There are many legal, regulatory, and policy issues that need to be resolved before stablecoins can safely proliferate," said Waller, citing a pending report on the subject from the President's Working Group.