As stated in an official Bloomberg report, the United States might soon adopt their first central bank digital currency. Andrew Moss and Alkesh Shah, crypto strategists for Bank of America have stated that CBDCs “are an inevitable evolution of today’s electronic currencies.”
They further elaborated: “We expect stablecoin adoption and use for payments to increase significantly over the next several years as financial institutions explore digital asset custody and trading solutions and as payments companies incorporate blockchain technology into their platforms.”
The possible adoption of CBDCs was discussed in a 35-page-long paper by the Federal Reserve. It discusses the potential benefits of the digital dollar, such as easier and faster cross-border payments.
The introduction of CBDCs would not come with its risks, however. The paper also discusses possible runs on financial firms or deposit amount reductions in the banking system. Nothing is final yet, however, as the Federal Reserve will not act without the permission of the White House and Congress.
According to experts, however, it is safe to say that we might probably see the US CBDC sometime in the foreseeable future.