Powell says Facebook discussed cryptocurrency plans with the Fed
Fed Chairman Jerome Powell. Photo: NICHOLAS KAMM/AFP/Getty Images
Fed Chairman Jerome Powell said on Wednesday that Facebook has discussed its plans for its Libra cryptocurrency with the Federal Reserve:
"It’s something we’re looking at... we would wind up having quite high expectations from a sort of safety and soundness and regulatory standpoint if [Facebook does] decide to go forward with something."
Yes, but: Powell also clarified that the Fed doesn't have plenary authority over cryptocurrencies, though it does have input into the payments system in the U.S. and abroad.