Speaking at the DealBook Summit hosted by The New York Times, Jerome Powell, the US Federal Reserve Chairman, once again emphasized that Bitcoin
$101,397.96
should be viewed as a competitor to gold rather than a rival to the US dollar.
This perspective is not new for Powell, who previously shared similar thoughts during a 2021 event organized by the Bank for International Settlements.
Back then, Bitcoin was priced at $58,200, and Powell had warned that cryptocurrencies like Bitcoin were speculative assets with no inherent backing. Despite the criticisms, Bitcoin’s market performance has seen it rise by 70%, outpacing gold’s 52% growth.
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Powell also dismissed the notion that Bitcoin represents a lack of confidence in the US dollar or the Federal Reserve. When questioned by New York Times journalist Andrew Ross Sorkin about whether Powell himself owned Bitcoin, he responded, “I’m not allowed to”.
However, Powell made it clear that he has no objections to crypto businesses collaborating with banks, as long as they do not endanger the financial institutions’ stability or health. Consumer protection remains a focus, though Powell pointed out that this is outside the direct purview of the Federal Reserve.
While Bitcoin’s position in the financial landscape remains a topic of debate, its potential continues to captivate experts. Recently, Dan Morehead shared his thoughts on Bitcoin’s rise and future trajectory. What is Morehead’s perspective on Bitcoin? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
