Janet Yellen may be open to having U.S. regulators consider a digital currency, but still seems to have strong concerns about Bitcoin.
In an interview on the New York Times’ DealBook DC Policy Project held today, Yellen said it makes sense for the Federal Reserve to look into a digital dollar. Speaking to Andrew Ross Sorkin, the Treasury Secretary said a digital dollar maintained by the Fed could result in “faster, safer and cheaper payments,” but added there were “a lot of things to consider” before a possible rollout. She questioned how regulators would “manage money laundering and illicit finance issues” as well as the impact on the banks and Fed.
In addition, the Treasury Secretary criticized Bitcoin (BTC) as a medium of exchange, not mentioning its use as a store of value:
“I don’t think that Bitcoin is widely used as a transaction mechanism […] It’s an extremely inefficient way of conducting transactions and the amount of