Wells Fargo Forecasts Fed Will Release a CBDC in 5 Years
Wells Fargo Advisors strategists have predicted that over the next five years, the United States will adopt a national digital currency (CBDC).
The company stated that American authorities are currently exploring options for creating a token and are working on integrating it into the country’s payment infrastructure.
The timeline for this development has been accelerated after US President Joe Biden signed an executive order authorizing the Federal Reserve to conduct research on blockchain technology.
Similarly, the Royal Bank of Canada has also predicted the gradual introduction of a digital dollar into the nation’s financial system.
However, they doubt that the Fed will release separate versions of the CBDC for retail and corporate use, and instead believe it will be a single publicly accessible instrument.
According to Wells Fargo, it will take around three to five years for the digital dollar to be fully created, as the Fed focuses on designing the instrument and ensuring its safe use within the domestic market.
In this process, the Fed is taking into consideration the concerns and recommendations of politicians and experts who fear that the implementation of a CBDC may violate American citizens’ rights to privacy and financial freedom.
