"Brainard Says Fed Is Conducting E-Money Tests for Research" covered by Craig Torres of Bloomberg

By Craig Torres

August 13, 2020, 3:13 PM EDT Updated on August 13, 2020, 5:59 PM EDT

The Federal Reserve is conducting experiments with a hypothetical digital dollar for research purposes, though it hasn’t yet committed to issuance that would require a formal policy process involving the government and other stakeholders, Governor Lael Brainard said Thursday.

In addition to the Fed’s own internal work, research teams from the Boston Fed and Massachusetts Institute of Technology are engaged in a “multi-year effort to build and test a hypothetical digital currency oriented to central bank uses,” she said…