Congressman Jim Himes puts out white paper for digital dollar

06/22 15:57

With heightened political attention on digitizing the dollar, one member of Congress has laid out his vision. On June 22, Rep. Jim Himes (D-CT) released a white paper called "Winning the Future of Money: A Proposal for a US Central Bank Digital Currency." It includes a general summation of CBDC adoption globally, as well as the traditional appraisal of pros and cons of a CBDC. However, the white paper is clearly supportive on Congress' move to authorize the Federal Reserve to issue a CBDC. Today's whitepaper highlights that "a U.S. CBDC would present novel and serious privacy challenges." While Himes' proposal maintains the need for commercial banks to handle retail user accounts, it specifies an "account-based" rather than "token-based" structure, entailing "strong user identification processes that require intermediaries to certify the identity of wallet holders."
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