• Powell says nothing would prevent a well-regulated stablecoin from coexisting with a US CBDC.

• He also revealed that a much-awaited report on cryptocurrencies was ready for release within weeks.

Cryptocurrencies and a US central bank digital currency can coexist, according to comments made by Federal Reserve Chair Jerome Powell.

The Fed chair stated this in response to a question from Senator Pat Toomey about the topic during Powell’s hearing on Capitol Hill.

The lawmaker wanted to find out if anything would stop the coexistence between a Fed digital dollars and stablecoins.

According to Business Insider, Powell responded with a “no, not at all. “

His response suggests that if Congress okayed a CBDC and Fed were able to launch one, nothing would “preclude a well regulated, privately issued stable coin from co-existing” within the same financial system as the digital dollar.

An example would be USD Coin, a US-dollar-pegged stablecoin that Circle and Coinbase launched.

Crypto report ready

Powell also said that the long-overdue report on digital currencies should be out soon, putting the timeline towards that within weeks.

He informed Sen. Mike Crapo the report on cryptocurrency was complete and that it was being released slowly due to monetary policy changes.

He said that it was difficult to create the report and that the agency didn’t “get it to the point [it] it needed to.” But, the report is now available for publication.

“ The report is really ready to go. I don’t hate to repeat it but it is in a position where it can go as the Fed Chair stated.