Federal Reserve Chair Jerome Powell told Senate lawmakers on Jan. 11 that there’s nothing standing in the way for privately issued stablecoins to co-exist alongside a potential Fed central bank digital currency (CBDC). During a hearing on Powell’s confirmation for a second term at the helm of the Fed, he was asked by Sen. Pat Toomey (R-Pa.) whether there was room for a potential Fed issued digital currency to exist alongside a privately issued stablecoin. “If Congress were to authorize and the Fed were to pursue a central bank digital dollar … is there anything about that that ought to preclude a well-regulated, privately issued stablecoins from co-existing with a central bank digital dollar?” Toomey asked. “No, not at all,” Powell replied, noting also that the Fed plans to release a report on CBDCs in the near future. The Fed has not committed to launching a digital dollar, though it has …