The chairman of the US Federal Reserve refers to stable coins as a money form

The chairman of the US Federal Reserve refers to stable coins as a money form

StableCoins are a "money form", which the central bank should have a certain degree of authority, said the chairman of the US Federal Reserve, Jerome Powell, on Wednesday before Congress.

The chairman also confirmed that the Fed does not intend to directly issue a digital central bank currency (CBDC) in the United States.

• During a Listen In terms of monetary policy, Powell cleared the crypto industry about a certain "perseverance" also has - but also that your market capitalization has decreased massively since last year.
• In the past, Powell released Bitcoin and other cryptos as failed forms of money. Stable coins, however, were a point with a greater focus, for which he is committed supported careful regulation.
• "We consider payment booths as a form of money," said Powell on Wednesday. The chairman added that the central banks were still the ultimate source of credibility in terms of money and that they would have to play a strong federal role in the industry.
• "It would be a mistake to allow a lot of private money creation at the state level," he added.
• Although a CBDC for the Federal Reserve is still on the table, Powell said that he would not consider to publish a CBDC directly from the central bank.
• "We would not support accounts of individuals in the Federal Reserve," he said, referring to data protection concerns. "At some point in the future, a CBDC would be conveyed via the banking system and not directly at the Fed."

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