"Vice Chair for Supervision Barr's Speech Unveils Payments Innovation"

The Vice Chair for Supervision at the Federal Reserve, Randal K. Quarles, delivered a speech highlighting the importance of payments innovation and the role of the Federal Reserve in ensuring a secure and inclusive payments system. He discussed the launch of the FedNow Service, which enables instant payments to be processed 24x7, and emphasized the need for faster payments to benefit households and businesses. Quarles also addressed the evolving landscape of payments technology, including distributed ledger technology, blockchain, cryptocurrencies, stablecoins, and central bank digital currencies (CBDCs). He stressed the importance of understanding these developments and their potential risks and opportunities. Additionally, Quarles discussed the Federal Reserve's efforts to promote responsible innovation and provide clarity for banks engaging with stablecoins, while expressing concerns about stablecoin issuance without strong federal oversight.