Fed Governor Says Crypto Is Fine, Banks Need to Chill Out

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Oh, look, the US Federal Reserve Governor, Christopher Waller, is telling bankers to stop having a meltdown about crypto payments. Apparently, there’s “nothing to be afraid of,” even though it’s outside the oh-so-comfortable world of traditional banking. Well, isn’t that a surprise. 🙄

According to Waller, “There’s nothing scary about this just because it’s in the decentralized finance or DeFi world.” Yeah, because new technology that completely shakes up your old system is totally nothing to fear, right? Just some little techy thingy that records transactions. No big deal. 😏

Waller went on to say that leveraging fancy new tech to build payment services isn’t exactly breaking news. Yeah, we get it, pal. He’s urging both policymakers and the private banking world to get on board with crypto. Nothing to see here, move along, people. “No reason to panic about smart contracts, tokenization, or distributed ledgers,” he says. As if that’s not the most exciting thing that’s ever happened to finance. 😜

In fact, it looks like Waller is trying to steer the Fed toward being a little more… crypto-friendly? In April, they pulled back on a 2022 directive that discouraged banks from messing around with crypto. Now, they’re making moves to “get in the game.” But don’t worry, folks, it’s all part of their “steady pivot.” 🙄

Just last week, the Fed ditched its super serious-sounding “novel activities supervision program” (What a mouthful!) that was supposed to keep crypto-related activities in check. And get this, Michelle Bowman, Fed Vice Chair for Supervision, even suggested that staffers should be allowed to hold a tiny bit of crypto to “better understand the technology.” Sure, because that’s what people do at the Fed, right? Buy a little crypto on the side for research purposes. 🤷‍♂️

Waller, being the forward-thinking guy he is, could soon be the one calling the shots. He’s rumored to be the frontrunner to replace Jerome Powell as the Fed Chair. Powell’s term ends in May 2026. But, oh wait, Trump might want him out. Good times ahead. 🙃

Buying Memecoins? It’s Basically Like Grocery Shopping, Says Waller

Here’s where it gets even more fun. Waller compares buying memecoins with crypto to a normal shopping trip. You know, like how you buy an apple at the store with your debit card. Yes, seriously. You just tap your debit card, and boom, receipt in hand, transaction done. He’s all, “I buy a meme coin, use a stablecoin to pay, and a smart contract does its thing.” It’s like your average Tuesday, but with a little more *memecoin* magic. 😅

“I buy a meme coin and use a stablecoin as the means of payment. The transaction takes place using a smart contract. Finally, the transaction is recorded on a distributed ledger.”

GENIUS Bill: A “Big Deal” for Stablecoins

The US government just signed the GENIUS Bill, which Waller calls an “important step” for stablecoins. Oh, great, so now stablecoins can really “reach their full potential.” Let’s hope that’s not code for “we’re gonna mess up a perfectly good thing.”

Apparently, stablecoins are the golden ticket to helping the dollar stay dominant internationally, especially in countries with high inflation or limited access to actual dollars. Because, yeah, that’s exactly what the world needs right now. 😒

Stablecoin Market Set to Explode by 615% (Because Why Not?)

The stablecoin market, which is currently worth $280 billion (pocket change, really), is projected to hit $2 trillion by 2028. You heard that right. A *trillion*. The US Treasury thinks it could happen with a good ol’ regulatory framework. That’s what’s really gonna get this party started. 🤑

Oh, and let’s not forget Tether and Circle’s USDC are currently ruling the stablecoin roost with a combined market cap of over $230 billion. They’re basically the crypto equivalent of the Walmart and Amazon of stablecoins.

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2025-08-21 04:07