US may launch digital dollar to support population

Democratic Party members from the US House of Representatives as part of the pandemic responsecoronaviruses are preparing to submit a bill implying the release of the "digital dollar". About it writes The Block.

The document does not suggest creating cryptocurrency or using distributed registry technology. The digital dollar is described in it as:

“Balance expressed in dollar termscosts containing entries in the digital registry, which are recorded as monetary obligations on the accounts of any Federal Reserve Bank; or an electronic unit of value available for redemption at any authorized financial institution (as determined by the Board of Governors of the Federal Reserve System). ”

The total volume of the document exceeds 1,000 pages, andthe final version is expected to exceed 1,400 pages. It remains likely that the digital dollar clause will be excluded from it. A source familiar with the situation said that this situation raises many questions, including the creation of infrastructure for hosting digital wallets.

Apparently, the ideas presented in itbased on a proposal by congresswoman from Michigan Rashida Tlaib advocating the creation of a “permanent Treasury-managed digital public currency wallets system”.

Digital Dollar Details

According to the proposal, there will be currency storageuse a “digital dollar wallet”, reflecting “savings on an electronic device or in a service used to store digital dollars that can be tied to digital or physical elements”.

In addition, the creation of intermediatewallets, through which Americans can gain access to funds contributed by the authorities. Wallets will be managed by banks in the Federal Reserve through separate entities.

“Member banks with a total consolidatedassets over $ 10,000,000,000 should promptly offer individuals the opportunity to use intermediate wallets of the digital dollar through the Internet or by telephone. ”, - the document says.

Commissions should not be applied to transactions of such wallets, and their functionality should not be inferior to ordinary bank transfers.

Operating costs of servicing suchwallets will be reimbursed on a quarterly basis. It is planned to use wallets for incentive payments to “qualified private individuals”. At the same time, it is assumed that for making such payments, it will not be a digital wallet, but bank checks.

“Not later than January 1, 2021, federalreserve banks should make digital dollar wallets accessible to all US citizens and those who have lawfully obtained a permanent residence permit, as well as legal entities whose main place of business is the United States ”, - the document says.

5
/
5
(
1

voice
)