If the US develops a digital dollar, it puts the Federal Reserve in direct competition with banks, said Fed Governor Chris Waller. The decision on whether a central bank digital currency should be created should be up to lawmakers rather than the Fed, Waller said.
The Financial Stability Oversight Council's report on climate change risk to the financial system calls for more disclosures from firms "to help determine exposure to material climate-related financial risks." The report could "lead to the banking agencies requiring banks to collect more data for internal use from corporate clients on their climate change risks," said Jaret Seiberg, a financial policy analyst at Cowen Washington Research Group.
Allowing broad access to information in the cloud facilitates cooperation, but it "also makes it easier for one careless password to compromise the whole system," writes Larry Alton of LarryAlton.com. Alton warns against unsanctioned applications outside the purview of the IT department.
The Treasury Department and other federal agencies will say in a report this week the Securities and Exchange Commission has authority to regulate stablecoins, sources say. The report reportedly calls for legislation that requires stablecoins to be regulated in a way similar to bank deposits.
Mastercard has formed a partnership with cryptocurrency firm Bakkt that will enable banks and other institutions to issue cards that allow users make payments and earn rewards with bitcoin. Other cryptocurrencies could be added to the offering in the future, the companies said.
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