- Fed Chair Jerome Powell firmly denies plans for a U.S. central bank digital currency (CBDC) during his tenure.
- Analysts warn that the Fed’s hesitation may erode dollar dominance amid rising global CBDC adoption.
- Private stablecoins and foreign digital currencies could seize 35% of the dollar’s market share.
Fed Chair Jerome Powell has canceled plans for a U.S. central bank digital currency (CBDC) under his tenure, reaffirming the Fed’s dedication to the current financial system. The statement came during his semiannual testimony on monetary policy and regulation.
JUST IN:
Fed Chair Jerome Powell says the Federal Reserve will never create a central bank digital currency (CBDC). pic.twitter.com/MmlU7U1JWK
— Watcher.Guru (@WatcherGuru) February 11, 2025
“We will NEVER have a direct-to-consumer CBDC,” he replied to Sen. Bernie Moreno’s question.
Critics Slam FedNow as Global CBDCs Expand
At the same time, Powell noted that FedNow, the new instant payments system, offers a sufficient solution to upgrade all U.S. transactions. In turn, Powell’s remarks drew mixed reactions. Some market experts consider FedNow a shallow fix, likening it to a painki…
The post Powell Cancels Any CBDC Plans, Instead Trusts FedNow for U.S. Payments appeared first on Coin Edition.
Coin Edition – Read More