New Money and Financial Infrastructure Discussions at the Jackson Hole Symposium
At the 45th Jackson Hole Economic Policy Symposium organized by the Kansas City FED, payment systems and public debt were discussed rather than interest rates.
Hosted for the 45th time this year by the Kansas City FED, the main agenda of the Jackson Hole Economic Policy Symposium focuses on the impact of financial innovations on payment systems.
The Main Agenda of the Symposium
The Economic Policy Symposium, first initiated by the Kansas City FED in 1978, is convening for the forty-fifth time this year.
The main theme of this year's meeting is the transformative impacts of financial innovation on payment systems and monetary policy.
New Money Architecture
The concept of New Money represents a brand-new financial architecture where money is produced, stored, transferred, and programmed, going beyond mere digitalization.
Stablecoins, tokenized bank deposits, and central bank digital currencies rank among the most important components of this new ecosystem.
Public Debt Burden and Central Banks
All these technological and structural transformations coincide with the massive public debt burden in G7 economies.
Central banks are now expected not only to combat inflation but also to shape the financial infrastructure rules of the twenty-first century.