The President of the United States, Joe Biden, is set to give the role of top economic advisor to Lael Brainard, Federal Reserve Vice Chair according to reports from Bloomberg. An official announcement from the White House is expected to be released today, February 14, 2023.
Brainard will be taking over from Brian Deese, the outgoing Director of the National Economic Council. Deese announced his resignation earlier this year and was actively involved in selecting his replacement. During his two years at the White House, Deese oversaw stability during the COVID-19 pandemic and the Ukraine and Russia crisis.
Brainard is an economist and has served as Vice Chair of the Federal Reserve for nine months. She has been a member of the Board of Governors of the Federal Reserve since 2014.
She is also known for advocating the creation of a Central Bank Digital Currency (CBDC). She proposed a regulatory framework for cryptocurrencies, especially stablecoins, due to their risks. Brainard is not the only one at the Federal Reserve who has considered the possibility of regulation.
In November 2021, Federal Reserve Chair Jerome Powell and Treasury Secretary Janet Yellen issued guidelines for stablecoins to protect consumers and encourage innovation. However, the guidelines only apply to stablecoin issuers in the United States and offices operating within the country.
Brainard agreed with the proposed guidelines and believes liquidity backstops are one way to regulate stablecoins. The fall of the Terra-Luna ecosystem in May 2022, which caused the depeg of UST, its algorithmic stablecoin, further emphasized Brainard’s call for stablecoin regulation.
President Biden is seen making changes to his cabinet to help shape the economic policy and growth of the country. According to Reuters, former Chief Economist Jared Bernstein is expected to replace Cecilia Rouse as the Council of Economic Advisers Chair. The White House has not made an official statement as of press time.
If you would like to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, and Instagram.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
