Christopher Waller, a member of the Board of Governors of the Federal Reserve System, has called for broader use of decentralized technologies in financial payments. He believes that such innovations can significantly complement traditional payment systems, expand choices for users, and enhance the resilience of the infrastructure.
This is reported by Business • Media
Waller on the Role of Decentralized Finance
During the Sibos conference in Frankfurt, Waller emphasized the importance of adopting cutting-edge technologies to modernize key elements of the financial system. He stressed that regulators should evaluate how innovations can strengthen the security and resilience of the infrastructure without violating existing standards.
“As we enter a new era, let’s remember that this is not a new story, and we should not be afraid of new technologies or new types of providers,” Waller emphasized.
Christopher Waller has repeatedly pointed out the need to embrace the so-called “technological revolution,” including the development of artificial intelligence and the tokenization of processes in the financial sector. He believes that elements of decentralized finance, particularly technologies for virtual currencies and distributed ledgers, can make the transfer of funds and assets faster and more efficient.
Advantages of New Approaches to Payments
Waller noted that expanding payment infrastructure options would contribute to achieving societal goals, including enhancing the resilience of the system.
“Having multiple options is also beneficial for achieving societal goals, such as promoting resilience in a broader payment system.”
According to him, this will allow the US to become a leader in innovation in the payment sector. Waller emphasized that businesses should have more freedom in choosing channels for transferring funds and securities according to their needs: some companies will prioritize speed, while others will prefer the ability to batch payments for liquidity savings.
Additionally, Federal Reserve Vice Chair for Supervision Michelle Bowman expressed support for the idea of regulators investing in crypto assets to gain a deeper understanding of the industry.
Waller also announced a special Federal Reserve conference on October 21 dedicated to innovations in payment systems, stablecoins, and tokenization. He called for enhanced collaboration between the government and businesses on standards, cybersecurity, and risk management to ensure that innovation develops alongside security guarantees.
It is known that Waller was appointed to the Federal Reserve Board in 2020 by then-President Donald Trump. He is currently seen as a likely successor to Jerome Powell as chair of the Federal Reserve after Powell’s term ends in May. In his speech, Waller did not comment on economic forecasts or monetary policy.
It is worth noting that Powell has faced criticism from Trump for implementing a tight monetary policy and refusing to lower the interest rate. However, on September 17, 2025, Powell lowered the key rate by 0.25% for the first time since December of the previous year.