Federal Reserve Governor Michelle Bowman has doubts about CBDCs, stating that “the potential uses of a U.S. CBDC remain unclear and, at the same time, could introduce significant risks and tradeoffs.”
Banque de France says cross-border payments must be at the heart of CBDC development while touting blockchain tokenization as the future of asset management.
The U.S. House Financial Services Committee has approved the CBDC Anti-Surveillance State Act, which will now be put before the House of Representatives.
While there is a growing list of nations exploring and launching their CBDCs, the U.S. remains negative about creating its own, with officials citing risks to privacy, freedom, and cybersecurity.
The Digital Dollar Project announced in a press release that it had completed a pilot study focusing on retail CBDCs, using a digital dollar in remittance payments to the Philippines.
The successful applicant will be in charge of creating "novel systems" around CBDCs, launching working prototypes of the system, and identifying risks associated with launching CBDCs.
U.S. Representative Warren Davidson claims CBDCs "corrupt money into a tool for coercion and control," he also called them the "financial equivalent of the Death Star."
The U.S. Federal Reserve says the 57 firms will be ready to send and receive payments on FedNow upon launch and are currently completing final trial runs.
NAFCU argued that regulatory guidelines for a digital dollar could only be achieved in consultation with Congress and stakeholders, including banks and credit unions.
The report by Cato Institute and YouGov disclosed that 16% of respondents supported the digital dollar, nearly 34% of American citizens opposed the CBDC, while the remaining 50% were undecided.
While a digital dollar “is not needed at this time,” the Bank of Canada wants to be ready as it fears digital currencies could threaten monetary sovereignty.