April 17, 2020 Newly proposed US legislation reintroduces support for Digital Dollar.

Congresswomen Rashida Tlaib and Pramila Jayapal have introduced a new act, the Automatic BOOST to Communities Act (ABC Act) that would enforce the creation and distribution of a digital dollar. The newly proposed payment method, however, is neither a stablecoin nor does it use distributed ledger technology. Specifically, the new act authorizes the Federal Reserve to create “FedAccounts” that alongside the use of “Digital Dollar Account Wallets” would allow benefactors to receive BOOST payments through their digital wallets. Meanwhile in an op-ed published on Thursday J. Christopher Giancarlo, a director of the Digital Dollar Project and the former chairman of the CFTC, urged US lawmakers to not rush any digital dollar initiatives. In his article, Giancarlo stated that to-date, all attempts by lawmakers have looked at a digital dollar purely “in terms of distribution functionality for government benefits, not as a form of true central bank digital currency (CBDC)”.