"We see the financial system moving in a digital direction every day" Week 36 - Blockchain + Banking
quote from Lael Brainard, Federal Reserve Vice Chair
Our big themes at Fin3 are (1) Financial Services are going to run on blockchain in 10 years, and (2) in the U.S., blockchain technology and crypto will eventually be regulated.
The Vice Chair of the Fed said last week that the Fed is spending a lot of time thinking about what the future of the financial system’s infrastructure will look like, and whether a digital dollar would play a necessary role.
From The Block's reporting: Private banks should continue to play a role in the economy, rather than the Fed directly banking customers using the digital dollar. The central bank won't seek to crowd out private business activity in payments or otherwise, she said. Brainard did raise concerns about stablecoins, calling them an area “with the most potential risk of not properly regulated.”
Separately, the Fed's former Vice Chair of Supervision, Michael Barr, said that "Congress should work expeditiously to pass much-needed legislation to bring stablecoins, particularly those designed to serve as a means of payment, inside the prudential regulatory perimeter" https://www.theblock.co/post/168391/fed-leader-pushes-congress-for-legislation-on-stablecoins