Former CFTC head leads blockchain-based digital US dollar project

Former Commodity Futures Trading Commission (CFTC) Chairman Christopher Giancarlo plans to promote the ideadigitization of the US dollar using blockchain technology, launching The Digital Dollar Project for this purpose.

The organization’s statement said the launch of TheThe Digital Dollar Project was the logical continuation of an article titled “We've Sent a Man into Space, We Can Send a Dollar into Digital Space,” published by Christopher Giancarlo and other creator of the initiative, former CFTC Innovation Director Daniel Gorfin in October 2019 in the Wall Street Journal.

Christopher Giancarlo's brother Charles and Silver Lake Partners hedge fund also joined the initiative.

Digital dollar, according to the authorsThe project, which will be the third currency format, will be provided with reserves of the Federal Reserve and, having a digital form, should be as easy to carry out transactions as, for example, sending text messages.

Among the main goals of the initiative are calledstimulating research and public debate on the potential benefits of the digital dollar; and developing a framework for practical steps that can be taken to implement such an idea.

“Digital dollar will help keep relevancepaper money and will allow individuals and international companies to make payments in dollars anywhere in the world and at any time. We are launching the Digital Dollar Project to promote the digital tokenized US currency, which will exist in parallel with other obligations of the Federal Reserve and will serve as a means of settlement, responding to the need to create a new digital world and a cheaper, faster and more comprehensive global financial system. ”— Giancarlo said in a statement.

It is also noted that the project will adhere to the key interests of the government, support existing Fed projects and focus on a number of key guidelines.

Compliance with these principles should ensurethat the digital dollar project will meet the basic requirements in the field of legislation, security, privacy, economic and cultural requirements, and also serve as the basis for better meeting the needs of the global financial system and consumers.

For more effective implementation of the setThe objectives of the project include the non-profit organization Digital Dollar Foundation. Accenture was named as its main technology partner, which in December became a partner of the Central Bank of Sweden on a pilot project for a digital crown platform.

Recall, last October, the presidentDallas Federal Reserve Bank Rob Kaplan confirmed that the US Federal Reserve is actively considering the possibility of issuing digital currency, fearing the dollar will lose its leading position in the global financial system.