Federal Reserve Governor Christopher Waller laid out his opposition to a U.S. central bank digital currency, saying he is “highly skeptical” of the need for a digital dollar.

CBDC Threat: Speaking at Harvard, Waller said a U.S. CBDC would threaten the banking system and cybersecurity without providing benefits that cannot be achieved through other means. He also said the U.S. dollar would retain its place as a global reserve currency even if other nations institute their own CBDCs.

Key Risks: “As I have said before, the introduction of a U.S. CBDC would come with a number of costs and risks, including cyber risk and the threat of disintermediating commercial banks, both of which could harm, rather than help, the U.S. dollar's standing internationally,” Waller said.

ICBA Resources: ICBA opposes the creation of a U.S. CBDC and recently released new polling conducted by Morning Consult indicating consumers are also skeptical.