Can You See CBDC?
In this analysis, we drill down in Treasury’s high-impact reports to the President on the future of digital assets to identify key considerations and strategic implications for housing finance. We start with an assessment of central bank digital currency (CBDC), turning in subsequent reports to other critical strategic questions surrounding the future of digital finance along with its winners and losers. When it comes to CBDC, Treasury mostly wants one and the Fed will almost surely build one, changing the course of mortgage finance in terms of who controls key liquidity and consumer-facing nodes across the financial system.