Yesterday, Democrat Congressman Jim Himes released a proposal for the issuance of a central bank digital currency (CBDC) or digital dollar.
“Over the last few years, we have seen other governments make real progress in establishing a central bank digital currency,” said Rep. Himes. He added, “The longer the United States government waits to embrace this innovation, the further we fall behind both foreign governments and the private sector.”
The January consultation paper from the Federal Reserve mentioned that it would ideally like clear legislative support before proceeding with digital dollar. In May this year, Republicans quizzed the Fed Vice Chairman Lael Brainard on whether the Fed would proceed in the absence of legislation. A key motivation for Himes in publishing the proposal is to get the ball rolling on legislation. President Biden also laid down a deadline in his March executive order, saying the Fed must publish a detailed paper within six months.
Article continues …
Want the full story? Pro subscribers get complete articles, exclusive industry analysis, and early access to legislative updates that keep you ahead of the competition. Join the professionals who are choosing deeper insights over surface level news.
