Powell says personal cryptocurrencies and digital money can combine.

Federal Reserve Chairman Jerome Powell said on Tuesday that personal cryptocurrencies, including hard-core coins, and digital bank funds can be combined.

Responding to questions from Senator Pat Tumi during the Fed's presidential re-election hearing, Powell said:

Toomey asked, "If Congress agrees with the Fed to find a central bank digital bank, what will prevent good governance, self-financing from working with the central bank?" Digital banking in dollars?

“No,” Powell replied.

This statement appears to have been altered by Powell's investigation in July when he said that if the Fed provided its own digital currency, cryptocurrencies would not be needed.

Chairman Powell also confirmed on Tuesday that the Fed plans to issue further high-demand digital currency announcements next week.