{"id":64378,"date":"2022-07-14T11:43:00","date_gmt":"2022-07-14T08:43:00","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=64378"},"modified":"2025-09-06T14:09:23","modified_gmt":"2025-09-06T11:09:23","slug":"us-treasury-officials-see-cbdc-benefits-for-financial-stability","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/us-treasury-officials-see-cbdc-benefits-for-financial-stability\/","title":{"rendered":"US Treasury officials see CBDC benefits for financial stability"},"content":{"rendered":"<p>The digital dollar could strengthen financial stability. Analysts at the Office of Financial Research at the U.S. Treasury (OFR) <a href=\"https:\/\/www.financialresearch.gov\/working-papers\/2022\/07\/11\/central-bank-digital-currency\/\">reached<\/a> this conclusion.<\/p>\n<p>Analysts considered the fears about the possibility of forming the &#8216;bank run&#8217; in the event of crises arising from the launch of the digital dollar to be exaggerated. Earlier such risks, as a negative consequence of CBDC, <a href=\"https:\/\/forklog.news\/frs-vypustila-doklad-o-tsifrovom-dollare\/\">were mentioned in its report by the <span data-descr=\"US Federal Reserve System\" class=\"old_tooltip\">Fed<\/span><\/a>.<\/p>\n<p>According to OFR analysts, the digital dollar would provide authorities with an early-warning system for problems in the financial system. The active conversion of funds into CBDC would serve as such a signal.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cMonitoring will allow regulators to more quickly determine when a bank run begins and to respond to threats arising from troubled banks,\u201d<\/em> the document states.<\/p>\n<\/blockquote>\n<p>According to the specialists, such insights could reduce the incentive for large depositors to initiate this process.<\/p>\n<p>Analysts also noted a decline in incentives for customers of a &#8216;weak bank&#8217; to move funds to a more reliable institution in calmer times. This would be possible due to a more conservative policy by financial institutions compared with the pre-CBDC era.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cWe view [the OFR report] as a tool that supporters of the digital dollar can use to justify plans for its launch,\u201d<\/em> <a href=\"https:\/\/www.coindesk.com\/policy\/2022\/07\/12\/us-federal-researchers-say-digital-dollar-could-be-good-for-financial-stability\/\">wrote<\/a> Jarret Zaiberg, a Cowen Group analyst.<\/p>\n<\/blockquote>\n<p>The report&#8217;s conclusions align with the <a href=\"https:\/\/www.federalreserve.gov\/newsevents\/speech\/brainard20220708a.htm\">latest remarks<\/a> by Fed Vice Chair Lael Brainard, who saw CBDC as a neutral trusted settlement layer in the future crypto-financial system.<\/p>\n<p>Earlier, in June 2022, the <span data-descr=\"Bank for International Settlements\" class=\"old_tooltip\">BIS<\/span> named national digital currencies the foundation of the monetary systems of the future.<\/p>\n<p>Earlier at congressional hearings, Fed Chair Jerome Powell said that a strategy for implementing CBDC was being prepared.<\/p>\n<p> Read ForkLog Bitcoin news in our Telegram \u2014 cryptocurrency news, prices and analytics.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The digital dollar could strengthen financial stability. Analysts at the Office of Financial Research at the U.S. Treasury (OFR) reached this conclusion.<\/p>\n","protected":false},"author":1,"featured_media":64379,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1334,36,26],"class_list":["post-64378","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-digital-dollar","tag-regulation","tag-usa"],"aioseo_notices":[],"amp_enabled":true,"views":"15","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/64378","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=64378"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/64378\/revisions"}],"predecessor-version":[{"id":64380,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/64378\/revisions\/64380"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/64379"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=64378"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=64378"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=64378"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}