Fed official says crypto “inevitable” for central banks

04 Oct 2019

The president of the Philadelphia Federal Reserve bank has stated it is “inevitable” for the central banks including the Fed, to begin issuing digital currency.

Whilst speaking at a community banking conference in St. Louis, Harker said: “It is inevitable … I think it is better for us to start getting our hands around it,” in answer to a question about the Fed’s decision to create its own real-time payments system known as FedNow.

The president added: “I am looking at the next five years after that. What comes next? I do think it is something around digital currency.”

A number of the world’s major economies have initiated plans to have a national digital currency, reports Coin Telegraph.

Mu Changchun, China’s head of cryptocurrency said one of the country’s main objectives for the Chinese national stablecoin Digital Currency Electronic Payment is to head off the rise of Facebook’s Libra, even ahead of its launch.

He stated: “If we allow Libra come to the market, we would open the underground economic channels,” Mu explained. “It will be hard for China to manage foreign currencies and the $50,000 capital outflow cap would be less effective.”

deVere CEO and founder, Nigel Green is often quoted by the media as saying: “Cryptocurrencies are the future of money and are now unquestionably part of mainstream finance.”

This was further evidenced in a recent global poll carried out by deVere which revealed over two-thirds of HNW individuals will be invested in cryptocurrencies over the next three years.

The survey showed 68% of those questioned are already invested in, or intend to make investments in cryptocurrencies, such as Bitcoin, Ethereum and XRP, before the end of 2022.

Nigel Green went on to say: “There will be no limit for cryptocurrencies, which are increasingly being accepted by retail and institutional investors as the future of money.”