A top FED official has made a very encouraging comment for the crypto community. The Philadelphia Federal Reserve bank president Patrick Harker has said that the U.S is headed to a digitalized currency. According to the official, this is inevitable. The official further states that this will happen somewhere between the next five years. His comments come just days after popular analyst Anthony Pompliano said that the U.S should tokenize the US dollar. Well, that or adopt Bitcoin.
A Tokenized Dollar won’t Be A First
This move is not unheard of and if anything, the U.S will be catching up with its tokenized dollar. China, as I have reported, is already working on creating their first cryptocurrency. Although in secret and the due day remains unknown, it known that China is working on releasing a state-owned cryptocurrency. This has come in response to the controversial Libra by Facebook. China recognized that the U.S dollar would garner even more dominance with the launch of Libra and in resonse began developing its cryptocurrency. A digital Yuan could conquer the world and see it climb above the dollar in dominance.
The U.S Is Ready To Catchup
Now the U.S looks like its headed in that direction too. It began with Pompiano tweeting this:
“Bitcoin was released in 2009. A decade later it has grown to a $200+ billion asset. Now the US government is talking about tokenizing their fiat currency in response. In a few years, they will likely be talking about adopting Bitcoin as a national currency.”
Now, Patrick Harker has backed this by stating:
“I am looking at the next five years after that. What comes next? I do think it is something around digital currency…As consumers adopt Libra, more deposits could migrate onto the platform, effectively reducing liquidity, and that disintermediation may further expand into loan and investment services,”
In the next couple of months and years, we could easily see a race to the first digital currency. Furthermore, which of them dominates the market and helps make payments and move money around the world easily and conveniently. It is, however, important to note that this will be controlled by governments, centralized, and will never be peers of Bitcoin which remains decentralized.
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