U.S. lawmakers request the Justice Department to assess whether the Federal Reserve has the authority to issue a CBDC

Chain Catcher News, several Republican members of the U.S. House Financial Services Committee have requested U.S. Attorney General Merrick Garland to provide the Justice Department's assessment on whether the Federal Reserve has the necessary authority to issue a central bank digital currency (CBDC).

It is reported that the U.S. Department of Justice has released two reports in response to President Biden's March executive order related to cryptocurrencies, the first of which concerns the sharing of information on cryptocurrency crimes internationally. The second announced the establishment of a prosecutor's task force specifically responsible for cryptocurrency crimes. The third details whether Congress must approve the CBDC.

The letter states that the lawmakers believe the Federal Reserve does not have the necessary authority to issue a CBDC and also mentions that Federal Reserve Chairman Jerome Powell and Vice Chair Lael Brainard have called for action from Congress. Representatives Patrick McHenry, French Hill, and others have set October 15 as the deadline for Garland to respond. (source link)