The US Treasury Department recommends more research into the development of central bank digital currencies (CBDCs).
In a new report, the Treasury Department says the United States aims to create a future payments system that promotes American values, minimizes risk and promotes inclusion.
To achieve its goal, the agency recommends more research into a possible U.S. CBDC in case one is deemed beneficial to the national interest.
“The Federal Reserve is encouraged to: continue its research and technical experimentation with CBDCs, including its work analyzing possible choices of technology and other design elements of a CBDC; continue to assess policy considerations as described in its January 2022 working paper.
[It should also] find mechanisms to provide the public with periodic updates on these initiatives, given the strong public interest in this topic; and consider how research and development on digital assets and other related innovations that are conducted or supported by other federal agencies could support a U.S. CBDC.
The Treasury Department said it would support the Federal Reserve by forming a CBDC interagency task force.
The Department further recommends encouraging the use of instant payment systems to support a more competitive and inclusive US payments landscape.
“New instant payment systems have recently been developed or are expected to be launched soon, capable of handling larger transaction volumes at lower cost than some current payment systems.
Experience with instant payment systems around the world suggests that improvements are possible to make the payment system more competitive, efficient and inclusive and could also reduce cross-border transaction costs.
However, the report notes some challenges associated with instant payment systems, such as the need for customers and businesses to adjust their financial habits and the tendency of instant payment systems to be proprietary.
Don’t miss a beat – Subscribe to receive crypto email alerts straight to your inbox
Check Price Action
follow us on TwitterFacebook and Telegram
Surf the Daily Hodl Mix
Disclaimer: Opinions expressed on The Daily Hodl are not investment advice. Investors should do their due diligence before making high-risk investments in Bitcoin, cryptocurrency or digital assets. Please note that your transfers and transactions are at your own risk and any loss you may incur is your responsibility. The Daily Hodl does not recommend the buying or selling of cryptocurrencies or digital assets, nor is The Daily Hodl an investment adviser. Please note that The Daily Hodl engages in affiliate marketing.
Feature image: Shutterstock/Tonis Pan/Natalia Siiatovskaia