U.S. authorities are far more concerned than they show, about the rapid advance of China’s central bank digital currency (CBD). To counter this threat, the U.S. Federal Reserve (Fed) has obviously enlisted a totally unexpected ally from the cryptosphere: the head of Coinbase.
After the race to the moon, the race to MNBC?
Brian Armstrong, the co-founder and current CEO of the crypto exchange Coinbase, made a sort of “diplomatic tour” of various American political and financial authorities during the first half of May. Indeed, the businessman was supposed to reassure about the introduction on the NASDAQ exchange of COIN – the share of the cryptocurrency exchange platform company.
However, as reported by Cointelegraph among others, it seems that these exchanges led Jerome Powell, Fed Chairman, and Brian Armstrong to meet and discuss a completely different matter of concern.
So on May 11, the men held a half-hour meeting, where Brian Armstrong explained that the digital yuan was considered a real problem for the US:
“(…) a threat to [the dollar’s] status as the world’s reserve currency in the long run, if the U.S. does not act quickly to create its own MNBC“
The new confrontation taking shape between the 2 biggest powers of the moment will therefore certainly concern the functional implementation of a national digital currency. Unfortunately, since the United States has been dragging its feet on the issue of a digital dollar for a long time, it is hard to see how the latter could catch up with the front runner, the digital yuan.