Boston Fed and MIT Unveil Model for Central Bank Digital Currency

Boston Federal Reserve Bank, Wiki
Earlier this month, the Federal Reserve Bank of Boston, in collaboration with the Massachusetts Institute of Technology, unveiled its first attempt at designing an electronic form of cash. Researchers claim the system can settle the vast majority of payments in less than two seconds, handles more than 1.7 million transactions per second, and operates around-the-clock.The Boston Fed is collecting public feedback and Federal Reserve Chair Jerome H. Powell claims it will only proceed with congressional authorization.

Some members of the Federal Reserve are continuing to explore the launch of its own digital dollar, as the Federal Reserve Bank of Boston on Thursday unveiled its first attempt at designing an electronic form of cash.

The Boston bank’s research, conducted in a collaboration with the Massachusetts Institute of Technology, does not offer a recommendation about whether the Fed should create its own digital currency. The central bank’s leaders in Washington are in the process of collecting public feedback on that question now, and Federal Reserve Chair Jerome H. Powell said it will only proceed with congressional authorization.

But in the meantime, the Boston team said Thursday that it has solved technical challenges such a product would need to meet. Researchers said they designed a system that can settle the vast majority of payments in less than two seconds, handles more than 1.7 million transactions per second and operates around-the-clock with no service outages in the case of a disruption in its network.

The ultimate product could help extend financial services to people who lack a bank account and make cross-border payments such as remittances safer and easier, said Neha Narula, director of the Digital Currency Initiative at MIT. Narula, in a conference call with reporters, noted that the Boston researchers “aren’t the ones making policy decision on how such a system might operate,” so they have aimed to “create a flexible system that can work with a variety of models.”

Along with a paper describing the team’s work to date, researchers on Thursday published open-source code for the platform that would support the digital currency. Jim Cunha, executive vice president of the Boston Fed, called that a first for the central bank, intended to encourage public input that improves the technology.

For the second stage of what researchers are billing as a multiyear project, the team plans to focus on improving the system’s privacy protections and its exchangeability with other currencies, among other goals. “There’s a lot of work to do here,” Cunha said.

The work follows the release late last month of a paper from the Fed’s Board of Governors weighing the pros and cons of adopting a central bank digital currency. It studiously avoided favoring an outcome. But the Fed appeared to dismiss the possibility of allowing Americans to create consumer banking accounts directly at the central bank, an option touted by some liberals but aggressively opposed by the banking industry.

Read full article here…

Visit our Classified ads.

Check out our Classified ads at the bottom of this page.

Recent stories & commentary

Classified Ads

The appearance of ads on this site does not signify endorsement by the publisher. We cannot vouch for accuracy of statements or integrity of advertisers. We will investigate complaints, however, and remove any message we find to be misleading or that promotes anything fraudulent or unethical.
For ad rates, click here.

Health


Health with space-age technology and Quantum physics. For people and all animals. No medication! Available world wide! Contact us at [email protected]. For principals and testimonials please visit our website. www.Healthytherapy.com


The Heavenly Handbook of Health. “WOW! U want FeedBack? So far I am floored. If I’ve learned anything about you since we met; this book has the potential to be a blockbuster.” Read 18pg Teaser @ HeavenlyHandbookofHealth.com Simple, incredible, affordable health – any age!



Learn Natural Medicine practice at home! There is NO Freedom without Health Freedom. There is NO Health Freedom without Informed, Voluntary Consent. There is no informed consent without education and understanding. American College of Natural Medicine, Thai Yoga Center provides you and your family with spiritually based natural health education. ThaiYogaCenter.Com or https://naic-edu.org


G. Edward Griffin’s blood pressure dropped to healthy levels and stayed there after using Cardio Miracle, a nitric-oxide booster containing a blend of ingredients that supports the body’s natural defense against heart disease, atherosclerosis, cancer, diabetes, Alzheimers, and more. If you are over 40, you really should check this out.



JWLABS – Building fine Rife frequency instruments in the USA since 1987.
We offer customer support and an exceptional warranty. Learn why all households and clinics should employ this device. Call us at 888-891-1122 to discuss the many benefits.   www.rifemachine.com


Income

Make money on money you are already spending. Join the world’s largest shopping network. Eleven-year-old company in 46 countries. Info and free membership. www.freedombuildersinternational.com



Free Report: Three Major Shifts That Signal Risks to Your Investments Are Headed Higher. Including the one action every investor should take right now to protect their portfolio against significantly rising risks. http://BuyAndStoreGold.com/pl-geg/



Are you ready for financial freedom?
Visit:  www.MoneyThatsReal.com



Ultimate Wealth Building Guide reveals 5 steps to create your own banking system to achieve lifetime financial security, certainty, and peace of mind in 60 days. Discover how to build and grow lasting wealth safely and predictably, regardless of market and economic cycles. www.mywealthwarehouse.com


Money & Banking


Lawful 100% income tax avoidance: a right recognized by IRS and Supreme Court. Request free report: [email protected] or find NoThanksIRS on FB/Twitter.


Need to Know


Being informed is not enough. Knowledge, by itself, is not power, but it holds the potential for power if used as a guide for action. Truth can be overpowered by tyranny only if we fail to enter the battle. The future belongs, not to ideas, but to people who act on those ideas. If you truly want to make a difference in the world, Freedom Force International awaits you.



Anxiety Publishing – providing more satisfying novels to the conscious community, stories based in a real world, not the illusion of the establishment. Promote your precious novel with your fellow authors and help build a collection of future classics. anxietypub.com


For Sale


Offline is a documentary on the inevitability of the Earth being slammed by a mega solar flare – not the common type that interrupts communications and creates a light show in the Northern skies – but the big brothers thousands of times more powerful. These monsters deliver enough energy to blow apart the master transformers that supply the planet’s energy grids. When that happens, the lights go out for longer than anyone wants to think about. These X-Class solar storms hit the Earth every 150 years, on average. The last one arrived 156 years ago. We are overdue (More)

 


Subscribe
Notify of
guest
4 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
Ragnar D.
Ragnar D.
2 years ago

Here’s my feedback to the Federal Reserve: Why do we need YOU to be in control of our “new” money seeing as how you are actively destroying the value of our old money? And besides, Bitcoin will eventually be the new world reserve currency which will be a currency not connected to any government. Second-layer networks like the Lightning Network will be built on top of the base layer Bitcoin network which will allow very fast transactions, so don’t let the crooked central bankers sell you on that aspect of their dead-on-arrival digital currencies.

William Burke
William Burke
2 years ago

Is that called the Washboard Building?

Jackie
Jackie
2 years ago

Did you know this?

L. Rafael REIF, President, Massachusetts Institute of Technology (MIT), USA


just so happens to be on the World Economic Forum Board of Trustees. Hmmm, how is that for coincidence?

Jon Nellis
Jon Nellis
2 years ago

Up front…I understand the necessity of an accepted and sanctioned modicum of exchange. The “tool” that is called “money” was created to represent the “VALUE” of productive labor. That value was determined by the individual(s) whom produced the goods and or services exchanged usually over a pint in the local tavern. I give you this…you give me that….spit in hands and shake. Money made that much much easier. But that same money came with consequences intentional or not, the DISASSOCIATION of value to labor. The money became the value not the effort. Gold and silver were chosen most likely because… Read more »

4
0
Would love your thoughts, please comment.x
()
x
G-JCFTSVZEEG
Share via
Copy link
Powered by Social Snap