The US Federal Reserve releases “detailed plans” for the digital dollar soon

The US Federal Reserve is expected to release detailed plans, guiding the review of the risks and benefits associated with the issuance of Central bank digital currency (CBDC), according to a report in the newspaper wal Street Journal (WSJ).

According to the report, this review, which could become official as early as this week, will examine how the digital currency will affect the country's economy soon.

If such a move is made by the US Federal Reserve, it will come amid similar reviews taking place in many countries, around the world, recently.

The report also noted that while the federal agency may conduct this review, it does not have the regulatory powers to ensure its implementation, due to the endless dispute over Fed officials' merits on technology.

Some of those who have argued in favor of the digital dollar project have always focused on the fact that the new currency would facilitate international transactions with ease, and advance the financial market to the unbanked as well.

However, there is another angle that should be taken into consideration, when working on a project of this importance affiliated with the Center, which is that the United States constitutes an economic power in the current global conditions.

Why it took so long for the Fed

With many countries around the world stepping up their efforts towards a project Central bank digital currency Many expected the United States to lead the way.

However, the authorities took the initiative to cede their position to China, which made giant strides in the digital yuan project.

Fed Chairman stated Jerome Powell Jerome Powell Commenting on this, the United States is taking time to study the benefits of building Central bank digital currency, because of the role the US dollar plays in the international market. He says:

"Doing it right is more important than doing it quickly."