Analysts at the Royal Bank of Canada predict that the Federal Reserve will take a gradual approach in developing CBDCs (i.e. digital dollars). In the report released this week, Royal Bank of Canada analyst Atul Bhatia believes that the Federal Reserve may take a more cautious approach, rather than issuing mature retail and wholesale CBDCs. He said, "We believe that the Federal Reserve will continue to emphasize gradual technological improvements, rather than risking a transformation of payment infrastructure. Despite the hype surrounding CBDCs, we have seen many concerns regarding security, privacy, and governance, which we believe outweigh the theoretical efficiency gains." He added, "In the foreseeable future, commercial bank accounts and physical cash may still be at the core of the US financial infrastructure."