WASHINGTON (AP) — The Federal Reserve on Thursday released a highly anticipated report on central bank digital currencies that suggested it is leaning toward having banks and other financial firms, rather than the Fed itself, manage digital accounts for customers.
A central bank digital currency would differ in some key ways from the online and digital payments that millions of Americans already conduct. It wouldn’t necessarily require the user to have a bank account. The Fed’s paper, while stressing that no final decisions have been reached, said it would likely follow an “intermediate model” for a digital dollar under which banks or payment firms would create accounts or digital wallets.
Such a government-issued digital dollar could have major consequences for commercial banks because many Americans might prefer to hold such currency in a “wallet” issued by a payment provider like PayPal or Venmo, potentially cutting into bank deposits. It would also compete with the burgeoning stablecoin market and could reduce the cost of financial transactions, particularly overseas remittances.
Still, the Fed is likely years away from actually issuing a digital currency, if it decides to do so. The paper released Thursday kicks off a 120-day comment period, during which the Fed will seek input from the public. Fed officials said the central bank has made no decisions about a digital currency or how it would work. The Fed said it would proceed only if Congress specifically passed a law authorizing a digital currency.
7 Virtual Reality Stocks That Can Deliver Very Real Profits
Are you ready for the metaverse? Yeah, I’m not either. But many people are enjoying living their life in a virtual world. However, virtual reality and augmented reality goes beyond the world of video games. The applications for this technology include remote assistance, training, and education.
And like e-commerce, this was a sector that experienced significant growth during the Covid-19 pandemic. Necessity frequently inspires new ways of thinking and so it is that millions of Americans had to figure out how to do things remotely.
But what you want to know as a prospective investor is whether there’s more growth in store. Fortune Business Insights reports that the global market for VR gaming will reach $45.2 billion by 2027. That’s up from $5.1 billion in 2019 and $17 billion in 2020. That comes out to a compound annual growth rate (CAGR) of 31.8%. That should get your attention. It’s certainly drawn the attention of many of the tech giants. Many of the FAANG stocks are investing in this market with the expectation of massive future growth.
If you’re looking to invest in this growing sector, we’ve put together this special presentation that highlights seven virtual reality stocks that, while they dabble in the virtual world can deliver real profits for your portfolio.
View the “7 Virtual Reality Stocks That Can Deliver Very Real Profits”.