Federal Reserve to study Facebook virtual currency
The US Federal Reserve has created a "working group" that is coordinating with government agencies and other central banks to consider the implications of Facebook's planned virtual currency Libra.
At a hearing at the US House Financial Services Committee, Powell told lawmakers that the cryptocurrency plan raises "serious" questions.
"Let me start by saying that we do support responsible innovation in the financial services industry as long as the associated risks are appropriately identified and managed," he told the panel.
"While the project's sponsors hold out the possibility of public benefits, Libra raises serious concerns regarding privacy." Powell said the Fed was "coordinating with our colleagues in the government in the United States" and "with central banks and governmen...
