At a community banking conference in Missouri on Wednesday, Philadelphia Federal Reserve Bank president Patrick Harker said he believes it is "inevitable" that central banks will begin issuing digital currencies, Reuters reports.
“Frankly I don’t think we should be the first mover as a nation to do this,” Harker said. However, he conceded that “It is inevitable," and said, "I think it is better for us to start getting our hands around it.” Harker was responding to questions about the Fed's move to develop a real-time payment system.
Harker's comments come as members of Congress are encouraging the Federal Reserve to consider developing a digital dollar. In a letter sent to Fed Chairman Jerome Powell on Monday, U.S. Rep. French Hill (R-Arkansas) and U.S. Rep. Bill Foster (D-Illinois), outlined concerns that the U.S. dollar could be in “long-term jeopardy."