Here's Why I'm Concerned
The Suspect in the J6 Pipe Bombing Incident Has Been Captured. Why the...
The Importance of Being Earnest
The Welcome Demise of Climate Change Catastrophism
Making the Judiciary Great Again
Those Lazy, Hazy, Crazy Days of Skipping 'Morning Joe'
Cuellar Should Have Fallen. Instead, He Got a Pardon. Here’s Why.
Closing the Door on Immigration? Not Yet.
Senator Rand Paul Idea Replaces Obamacare With Free Market Alternative
Socialism Is Antithetical to the Genuine American Dream
The War Is Not Over, and There Is No Peace
Who Knew? Being Your Own Boss Can Contribute to the Nation's Birth Rate
U.S. Secret Service Seized 16 Illegal Skimmers, Stopped $16M in Fraud
Two Men Charged After 1,585 Pounds of Meth Found Hidden in Blackberry Shipments...
SCOTUS Upholds New Texas Redistricting Map
Tipsheet

'It Begins': NY Fed and Major Banks Make Concerning Announcement

A number of global banking giants have partnered with the Federal Reserve Bank of New York for a 12-week digital dollar pilot program.

According to a statement from the New York Fed, the trial will “explore the feasibility of an interoperable network of central bank wholesale digital money and commercial bank digital money operating on a shared multi-entity distributed ledger.”

Advertisement

Specifically, the program will be testing “the technical feasibility, legal viability, and business applicability of distributed ledger technology to settle the liabilities of regulated financial institutions through the transfer of central bank liabilities.”

Mastercard, Wells Fargo, Citigroup, HSBC Holdings, PNC Financial Services, TD Bank, Truist Financial, and U.S. Bancorp are among the big banks that have partnered with the New York Fed’s New York Innovation Center for the pilot program.

“Programmable US dollars may be necessary to support new business models and provide a foundation to much-needed innovations in financial settlements and infrastructure,” Tony McLaughlin, managing director for emerging payments and business development at Citigroup’s treasury and trade solutions division, said in a statement Tuesday. “Projects like this, that focus on the digitization of central bank money and individual bank deposits, could be expanded to take a broader view of the opportunity.”

The pilot program comes after the collapse of cryptocurrency exchange FTX, which filed for bankruptcy last week. 

"The NYIC looks forward to collaborating with members of the banking community to advance research on asset tokenization and the future of financial market infrastructures in the U.S. as money and banking evolve," said Per von Zelowitz, Director of the New York Innovation Center.

Advertisement

Related:

BANKING

Join the conversation as a VIP Member

Recommended

Trending on Townhall Videos

Advertisement
Advertisement
Advertisement