{"id":27267,"date":"2020-08-14T15:33:31","date_gmt":"2020-08-14T12:33:31","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=27267"},"modified":"2025-08-26T19:44:00","modified_gmt":"2025-08-26T16:44:00","slug":"fed-outlines-research-into-issuing-a-digital-dollar","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/fed-outlines-research-into-issuing-a-digital-dollar\/","title":{"rendered":"Fed outlines research into issuing a digital dollar"},"content":{"rendered":"<p>The U.S. Federal Reserve is conducting experiments with a hypothetical digital dollar for research purposes, Bloomberg reports. <a href=\\\"https:\/\/www.bloomberg.com\/news\/articles\/2020-08-13\/brainard-says-fed-is-conducting-e-money-tests-for-research\\\" target=\\\"_blank\\\" rel=\\\"noopener noreferrer\\\">Bloomberg<\/a><!--more--><\/p>\n<p>According to Federal Reserve Governor Lael Brainard, the move is not about preparing to launch a digital currency, which would require political decisions.<\/p>\n<p>In addition to internal Fed research, the Federal Reserve Bank of Boston and the Massachusetts Institute of Technology (MIT) are jointly working on \u201ccreating and testing a hypothetical central bank\u2013digital currency software and mechanism oriented to use by the central bank.\u201d<\/p>\n<p>The results will be published as open-source software, publicly available for experimentation, Brainard noted.<\/p>\n<p>The project lead, Boston Fed Senior Vice President James Cunha, said that at the first stage the Fed&#8217;s and MIT specialists will have to create \u201ca mechanism and software that meet the needs\u201d of a CBDC for a country the size of the United States. He added that there are many issues: from the sheer volume of transactions to ensuring security and privacy.<\/p>\n<p>Brainard said the Fed is studying \u201cthe implications of using digital currencies for the payments ecosystem, monetary policy, financial stability, banking and financial operations and consumer protection.\u201d A group of app developers from the Federal Reserve Banks and the Board\u2019s policy staff is working on this.<\/p>\n<p>Despite the ongoing research, the Fed has not decided whether to initiate a political process for a possible launch of a digital currency, Brainard stressed.<\/p>\n<p>Earlier in February, she disclosed that the Fed was studying the possibility of issuing its own digital currency, amid China\u2019s similar project.<\/p>\n<p>The day before, in China, <a href=\"https:\/\/u1f987.com\/en\/news\/chinese-authorities-designate-new-regions-for-digital-yuan-pilot-tests\">stated<\/a> that the digital yuan tests would be expanded to a greater number of regions.<\/p>\n<p>Follow ForkLog news on <a href=\\\"https:\/\/twitter.com\/ForkLog\\\" target=\\\"_blank\\\" rel=\\\"nofollow noopener noreferrer\\\">Twitter<\/a>!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The U.S. Federal Reserve is conducting experiments with a hypothetical digital dollar for research purposes, Bloomberg reports.<\/p>\n","protected":false},"author":1,"featured_media":27268,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1095,1249,167],"class_list":["post-27267","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-cbdc","tag-federal-reserve-system","tag-research"],"aioseo_notices":[],"amp_enabled":true,"views":"21","promo_type":"1","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/27267","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=27267"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/27267\/revisions"}],"predecessor-version":[{"id":27269,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/27267\/revisions\/27269"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/27268"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=27267"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=27267"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=27267"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}