Fed’s Williams Rejects Stablecoin Threat to Bank Deposits, Forecasts Inflation Return to 2%
Federal Reserve Bank of New York President John Williams stated that stablecoins are not displacing bank deposits or money market funds. He noted the central bank’s ample reserves framework is structured to flexibly accommodate potential stablecoin market activity.
On price pressures, Williams stated that current inflation remains far too high. He affirmed the Fed’s confidence in returning consumer price growth to its 2% target.
From the sources (5 posts)
@financialjuiceFed's Williams: Stablecoins are not displacing money market funds.
@financialjuiceFed's Williams: Stablecoins are not a threat to bank deposits
@financialjuiceFed's Williams: Fed's ample reserves system is designed to be flexible and can respond to stablecoin impact
@financialjuiceFed's Williams: Inflation is still 'far too high'
@financialjuiceFed's Williams: We will get inflation back to 2%.