When autocomplete results are available use up and down arrows to review and enter to select.
The payments landscape for community banks is changing rapidly as traditional payments converge with new instant payment systems and emerging cryptocurrencies. It is critical for Community Banks to maintain awareness of developments in the payments space to assess new opportunities, mitigate risks, and ensure that their payment strategy aligns with overall business plans.
May 24, 2022
After ICBA last week expressed opposition to the establishment of a U.S. central bank digital currency, a House hearing this week will focus on CBDC benefits and risks.
ICBA Comments: In a comment letter to the Federal Reserve and a national news release, ICBA said a U.S. CBDC would introduce significant privacy and cybersecurity risks into the nation’s monetary system and disrupt U.S. banking stability.
Key Risks: ICBA said a U.S. CBDC would obstruct the ability of banks to take deposits and make loans, pose privacy and cybersecurity risks, provide a gateway to direct-to-consumer Fed accounts, and damage the Fed’s ability to conduct monetary policy, among other risks.
Hearing: The House Financial Services Committee hearing is scheduled for noon (Eastern time) this Thursday.