US accelerates verification "Digital Dollars"

The United States Biden Government announced the first national strategy in the field of digital assets on March 9. The U.S. government takes the verification of the central bank's digital currency (CBDC) as an important issue and explores the possibility of practicality. China is promoting the "Digital RMB" issuance plan, and the European Central Bank (ECB) is also officially preparing. In this context, the United States has clearly grasped the intention of dominating rights in the development competition, including private crypto assets.US President Biden signed a presidential order to promote digital asset technology innovation that day. The White House will be used as a headquarters to formulate policies from the aspects of national security and economy. In the past, it was responsible for the Federal Reserve (FRB) and the US Securities and Exchange Commission (SEC), respectively. The government did not have a unified strategy.In the next 2 to 6 months, the US Department of Finance and other relevant government departments will promote specific policies.The following six items are listed as priorities in the digital asset strategy: (1) protecting consumers and investors; (2) stable financial system; (3) preventing improper behaviors; (4) maintaining American competitiveness; (5) " Financial tolerance "covers financial services to people without bank accounts; (6) responsible innovation. The focus is to develop the US version of the central bank's digital currency "digital dollar". The President's Order clearly stated that the United States must participate in experiments between many countries and grasp the dominance in the development competition.The Federal Reserve has a cautious attitude towards the issue of digital dollars. The January report states that this is conducive to improving the efficiency and financial tolerance of the settlement system, but also lists topics such as network attacks. If the axis currency cannot be traded, the world economy may fall into a crisis.In addition, the report said that if the government and parliament do not support, the Fed will not issue digital dollars.The president's order shows that the US government has changed its attitude and has become positive for digital dollars. The background is that China is at the forefront of the statutory currency digitalization. The Chinese government has begun to pilot digital RMB. Not only is it intending to circulate in China, but also considering trade settlement and international remittances with other countries. China is testing the settlement of digital currencies in the United States Central Bank of Thailand and the United Arab Emirates.China's actions are intended to get rid of the dependence on the Global Financial Communications Association (SWIFT), and the United States has a great influence on SWIFT. China has established an independent RMB settlement network. BeRussia was also sanctioned by Europe and the United States for attacking Ukraine, and some banks were removed from Swift. If China and Russia join forces at the settlement system, from the long term, it may weaken the dominant position of the US dollar.