Washington, Oct. 25 – The U.S. Federal Reserve signaled a notable shift toward embracing digital asset infrastructure, highlighting that innovations such as payment-stablecoins and tokenized assets could play a key role in the modernization of the nation’s financial system — provided robust safeguards are maintained.
In a policy address Thursday, a Federal Reserve governor said the central bank recognizes that private-sector development of distributed ledger technology (DLT) and stable-token systems is “reshaping how value is transferred,” but added that “public institutions must ensure safety and stability remain our foundation.” The remarks mark one of the most open acknowledgments yet from the Fed that blockchain-based systems may soon coexist with traditional payments infrastructure.
According to the official, the Fed has begun internal research into a “payment account” concept that would extend access to central bank services beyond commercial banks, enabling integration with emerging digital-asset networks. Though no formal timeline was announced, the proposal underscores the Fed’s effort to balance innovation with its supervisory responsibilities.
The comments come as financial institutions, including major U.S. banks and regulated trust companies, seek clarity on how they can issue stablecoins, custody tokenized assets, and use blockchain settlement technology. Industry participants say the Fed’s evolving tone could prompt established institutions to accelerate their digital-asset initiatives, especially as demand for faster, cross-border settlement solutions grows.
Analysts note that while the shift signals growing institutional acceptance, significant regulatory uncertainties remain. The Fed official emphasized that innovation alone cannot justify risk: “We must test, analyze, and monitor where the technology intersects with systemic activity or critical market functions.”
Background: The statement follows the enactment of the GENIUS Act earlier this year, which created a federal framework for payment-stablecoins and established oversight under bank regulators. Together, the new legislation and the Fed’s updated stance reflect a gradual but clear alignment between the crypto economy and traditional financial supervision — a step that could redefine the role of digital assets in mainstream U.S. payments.
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