Washington, July 18, 2018 

The Monetary Policy and Trade Subcommittee met today to examine the extent to which the United States government should consider cryptocurrencies as money, and their potential effect on domestic and foreign economies. The Subcommittee also evaluated the merits of any uses by central banks of cryptocurrencies to better understand the future of both digital currencies and physical cash…

“There is no doubt that the digitalization of financial transactions, records, access to information, and communication will continue to increase, and that the electronic networks underlying the activity continue to grow more intense and omnipresent. But the fundamental nature of money, it seems to me, will not change… It is clear that having a fiat currency is far too precious and profitable for governments for them ever to go back to a government currency backed and convertible into actual assets, whether gold coins or otherwise… An increase of the monopoly power of central banks, which already have too much, should be avoided.” – Alex J. Pollock, Distinguished Senior Fellow, R Street Institute

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