Federal Reserve governor dampens prospects for future CBDC
Federal Reserve Governor Michelle Bowman recently expressed skepticism about the unique benefits of a U.S. CBDC over other financial alternatives at a Harvard Law School roundtable discussion. During a recent roundtable discussion at Harvard Law School, Federal Reserve Governor Michelle Bowman voiced her skepticism regarding the practicality of a U.S. central bank digital currency (CBDC). She expressed doubts over whether a CBDC could offer solutions to financial issues any more effectively than current alternatives, such as FedNow. CBDCs have been touted by their advocates for their potential benefits, particularly in terms of financial inclusion and mitigating challenges within the payment system. Yet, Bowman remains unconvinced, arguing that these touted advantages may not be exclusive to CBDCs. “These are all important issues. I have yet to see a compelling argument that a U.S. CBDC could solve any of these problems more effectively or efficiently than alternatives, or wit...