Basel III and macro-prudential policy in the EU  During the recent crisis several gaps in the regulatory and supervisory framework for financial institutions were revealed. It became apparent that the quality and quantity of the capital base of many financial institutions were insufficient to withstand severe shocks.
Evolving financial services, a sharper focus on efficiency and timeliness in the industry, and the rapid increase in technology advances have also led the Federal Reserve to explore the potential benefits and risks of a central bank digital currency (CBDC).