1 06, 2022


2023-02-21T12:47:30-05:00June 1st, 2022|2- Daily Briefing|

IMF Charts USD Decline

The IMF today published a blog in its Chart-of-the-Week series portraying the declining status of the US dollar as the global reserve currency.   As noted last week (see Client Report CBDC13), the dollar’s dominance is a core Congressional and FRB criterion when considering the need for a U.S. CBDC and this report may increase calls by some in Congress for more rapid action (see FSM Report CBDC4).  The post highlights the dollar’s dip below 59 percent of global foreign-exchange reserves in the final quarter of 2021, but also states that the euro, yen, and pound have not replaced it, nor has the renminbi, which now accounts for only a quarter of the shift from the dollar in recent years due in part to Russia’s holding of nearly a third of global renminbi reserves.

IMF Presses Central Banks to Go Green

A senior IMF advisor, Tobias Adrian, today argued that central banks should include sustainability considerations not only in their financial-stability and monetary-policy analyses, but also in their balance sheets.  This follows comments earlier today from President Lagarde that the ECB has an “open mind” about using the central bank’s lending facilities to foster the transition to carbon neutrality.


22 03, 2022


2023-04-03T13:01:29-04:00March 22nd, 2022|2- Daily Briefing|

BIS Advances Cross-Border CBDC Settlement

The BIS today announced significant progress accelerating the ability of CBDCs to handle cross-border payments.  Working with central banks in Australia, Singapore, Malaysia, and South Africa, the BIS described two prototype platforms for multi-currency international settlement that in their view prove that central banks can transact directly with each other using a shared platform.

ECB Head Criticizes Crypto, Calls for CBDC

Although we have not been able to confirm this by official remarks, press reports today indicate that ECB head Christine Lagarde has concluded that crypto-assets and -currency are significant factors in Russian-sanctions evasion.

CFPB Attaches UDAAP Label to Product-Review Practices

Building on FTC action, the CFPB today issued guidance stipulating that contractual-gag orders and certain other practices (e.g., employee or paid reviews) affecting the integrity of consumer reviews are illegal in credit-card, mortgage, or other consumer-finance marketing.  The law on which this view is premised is a provision in the CFPB’s authorizing statute providing enforcement power for unfair, deceptive, or abusive acts or practices (UDAAP).

Treasury Lays out Digital-Asset Work Plan

In remarks today, Treasury Under-Secretary Liang laid out her agency’s plans to execute President Biden’s digital-asset order (see Client Report CRYPTO26).  Treasury’s report on money and the payment system will address current weaknesses (e.g., high fees for low-balance accounts, slow and costly remittances), recognize the strength of FDIC insurance and other safeguards, build on FedNow, and establish a way for stablecoins to access the payment system.


Go to Top