ChainCatcher News, according to Federal Reserve Governor Bowman, banks and regulators must embrace the benefits of new technologies such as artificial intelligence and cryptocurrencies, or their role in the economy may be weakened.

In her speech, she stated: "Change is coming." She indicated that ideally, regulators would allow new uses to "surge in a way that benefits the banking system." "If this is not our approach, then we may face the risk of a declining correlation between the banking system and consumers, businesses, and the overall economy."

Bowman urged the industry to help regulators better understand blockchain and digital assets, as well as the potential for new technologies to address issues like fraud. She also mentioned that she would seek to reduce regulatory scrutiny associated with reputational risks, hinting that new rules may be formulated.