The Massachusetts Institute of Technology (MIT) and the Federal Reserve Bank of Boston are rumored to have nearly completed at least two digital dollar prototypes and are expected to be unveiled to the public this July.
"The Boston Fed and MIT hope to announce their efforts in the third quarter, including two prototype software platforms that transfer, store and complete transactions involving digital dollars." - Boston Fed project leader James Cunha.
Earlier, the chairman of the Federal Reserve, Jerome Powell, had revealed the efforts of the US central bank which is studying the central bank's digital currency (CBDC), the digital dollar.
The figure at the same time thinks Bitcoin (BTC) has high potential to replace gold against the dollar, has caught the attention of the entire crypto community.
While the announcement is seen as good news, Cunha explained the central bank, Treasury and Congress need to monitor big issues related to the digital dollar. This includes whether the Fed will host user accounts, and whether to allow anonymous use and the protections that users should have in the event of a cyber attack or wrongful transaction.
However, Powell last week stressed the implementation of the CBDC depends on the support of congress and the state government. If both do not support the effort, then it will not go ahead.
"I think it is better for it to appear based on the law, instead of interpreting the law itself to allow its use," he said.
