White House Fed Chair Pick Says Federal Reserve Lacks CBDC Authority

The nominee said the Federal Reserve has no legal right to issue a CBDC (central bank digital currency) and called it “a bad policy choice.”

Fact Check
Both supplied source links independently support the claim. The Yahoo Finance X post explicitly says Sen. Moreno asked Kevin Warsh whether the Federal Reserve has legal authority to issue a CBDC, and Warsh said the Fed lacks that right and that it would be a bad policy choice. The Bitcoin Magazine X post reports the same two core points using nearly identical language. Search evidence from The Block's report title/snippet further corroborates that Warsh made these remarks during his April 21, 2026 hearing. Because no official transcript or government hearing video was obtained in this run, confidence is medium rather than high, but the available evidence strongly supports the claim.
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Summary

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Terms & Concepts
  • CBDC: A central bank digital currency is government-issued digital money backed by a national central bank.
  • Federal Reserve: The Federal Reserve is the central bank of the United States, responsible for monetary policy and financial stability.