In what sense is currency a liability of the Federal Reserve System?

Here, as we all know that the Fed is that the Federal Reserve System System, which is the nation's financial institution. Additionally, a liabilityis that the amount owed. In other words, the legal claims against a business or household by non-owners.

The currency of theFederal Reserve System System, legallyit's the liability of thecentral bank Banks and obligations of the U.S. government. Although not issued by theDepartment of the Treasury,Federal Reserve notes carry the signature of the treasurer of the U.S. and U.S. Secretariat of the treasurer.

Federal Reserve notes are authorized by U.S. code.additionally, are issued to theFRS Banks at the discretion of the Board of Governors of theFed System.

TheFRS Bank puts the notes into circulation. Atnow, they become liabilities of theFederal Reserve Bank.

Thus, whenthe money inbacklog gets into circulation, thenit's to be termed as liability ofFRS Bank.