FedDollar is years away. U.S. Federal Reserve Chairman Jerome Powell confirmed the delay, saying it will take "years rather than months" before the Fed releases any CBDC.
- At an online event hosted by Princeton University, Jerome Powell said, "We don't feel an urge or need to be first."
- In Powell's view, CBDCs could "become systemically important overnight."
- Indeed, by early morning on Sept. 17, 2019, the secured overnight financing rate reached $1.18T, an increase of $20B from the previous day, causing a near-collapse of the overnight repo market that could have bankrupted many of the world's banks within 24 hours.
- That morning at 9:30 a.m., the Fed added $53B in additional reserves using unique tools to the USD to prevent the collapse of the global financial system.