US Treasury nominee opposes a CBDC

Scott Bessent, the nominee for US Treasury secretary, spoke out against introducing a CBDC.

“I do not see any point for the United States to have a central bank digital currency. In my opinion, a CBDC is intended for countries that have no other investment alternatives,” he said at a Senate hearing.

Bessent — co-founder of Key Square Capital Management and former chief investment officer at George Soros’s Soros Capital Management — is among the prospective crypto advocates in the incoming presidential administration.

His stance aligns with the views of Donald Trump and several other American politicians, who argue a digital dollar is unnecessary and potentially harmful.

In 2022, the Federal Reserve released a report on the prospects and risks of a CBDC. It concluded that such an instrument could aid cross-border payments and improve access to financial services, but did not deem a launch necessary.

Back in 2020, Fed chair Jerome Powell stressed that, for the United States, finding the right approach to a digital dollar mattered more than being the first country to issue a CBDC.

In May 2024, the US House of Representatives banned the Federal Reserve from offering a CBDC to individuals.