Federal Reserve Not Worried About Facebook’s Crypto

Federal Reserve members had a meeting discussing the new crypto project by Facebook-Libra. According to the chairman Jay Powell, Libra does not pose a threat to fiat money and we read more in the latest cryptocurrency news below.

Powell noted:

 “I think we’re a long way from that…Digital currencies are in their infancy. So essentially, [I’m] not too concerned about central banks no longer being able to carry out monetary policy because of digital currencies or cryptocurrencies.”

Regulating the crypto project is not on the Federal Reserve agenda because the agency does not have the needed authority to do so. Powell noted that the FED doesn’t have the plenary authority over cryptocurrencies as such. He also stated that cryptocurrencies play an important role in our world today and this is why consumer protection is needed. It is also important to prevent money laundering but Powell noted that the international forums have a bigger impact in the payments systems around the world and play an important role in the payment system of the United States. Powel continued:

 “There are potential benefits here; there are also potential risks, particularly of a currency that could potentially have large application. We will wind up having quite high expectations from a sort of a safety and soundness regulatory standpoint if they do decide to go forward with something.”

The Federal Reserve chairman acknowledged the fact that the FED does meet with the private sector quite often and the companies form the sector to discuss future fintech plans including blockchain technology and cryptocurrency. The Fed also is not the first agency that met with Facebook and discussed the controversial crypto project. Powell concluded:

 “Facebook, I believe, has made quite broad rounds around the world with regulators, supervisors, and lots of people to discuss their plans and that certainly includes us. That’s something we’re looking at. We meet with a broad range of private sector firms all the time on financial technology and there’s just a tremendous amount of innovation going on out there.
buy isotretinoin generic https://buywithoutprescriptiononlinerx.net/isotretinoin.html over the counter

”

As noted in the coming altcoin news, the Federal Reserve reported earlier this week that the interest rates would remain unchanged despite the recent developments on the market.