The Federal Reserve Board is weighing whether to loosen the rules that govern the creation and use of digital currencies, including virtual currencies like Bitcoin.
The move, which was first reported by Bloomberg, could open up more space for people and businesses to use virtual currencies.
On Wednesday, the Fed’s central bank meeting was focused on its decision to start accepting bitcoin and other cryptocurrencies.
“We’ve been following developments in the virtual currency space, and we think that the time is right for an initial public offering of bitcoin and related cryptocurrencies,” Fed chair Janet Yellen said, according to a transcript of the meeting.
“This could be a way to offer investors access to the underlying asset and thereby enable further growth and expansion in the Bitcoin ecosystem.”
The Fed would have the ability to buy and sell bitcoins as well as other digital currencies.
The central bank, which has been exploring ways to use cryptocurrencies to fund its policies for years, was set to open its first bitcoin futures contract this week.
The Fed has previously taken a cautious approach to virtual currencies, saying that virtual currencies should not be considered legal tender.
But with Bitcoin gaining traction, the central bank is likely to look into the possibility of issuing more virtual currency-based securities, Reuters reported.