Federal Reserve Chairman Jerome Powell Calls BTC A ‘Speculative Asset’ Amid Coinbase Direct Listing

2021-4-16 22:11

Cryptocurrencies have been around for more than a decade and have just gained global relevance in the last two years.

This has been largely due to institutional investors seeing digital assets like Bitcoin as a hedge against inflation. However, the US Federal Reserve boss believes that crypto-assets are still not ripe for payments.

Crypto Is Just For Speculation

In a virtual interview organized by the Economic Club of New York, Powell said that cryptocurrencies are ideal as vehicles for price speculation. According to him, they have not attained the status of becoming a payment option.

Powell also said that cryptocurrencies like Bitcoin could be rightly compared to precious metals like gold, given the difficulty of mining them. And since humanity has always placed gold on a high pedestal, he feels that Bitcoin can transform into the same mold.

Powell’s comments may seem contradictory to crypto owners who believe that Bitcoin was created for payment services. The jury is still out on whether Bitcoin would function as a medium of exchange effectively. This is due to the development of solutions like sidechains and Lightning Network.

Companies like Tesla now accept Bitcoin as payment for their sedans, and many more businesses would tow the same line soon. The adoption rate in the traditional markets has also been growing.

Just yesterday, the U.S-based bitcoin exchange Coinbase made its debut on Nasdaq as a publicly-traded company.

The milestone, which is a first for the crypto industry, is poised to attract more investments into the space.

Coinbase opened its shares to the investing public at a whopping $381 per share against the $250 reference price.

The company also made its Q1 report for 2021 public, noting that it generated over $1.8 billion in revenue and onboarded 56 million unique users since its founding.

BTC Better Store Of Value Than Gold

Powell’s views on cryptocurrencies are not entirely novel to the crypto universe. Last month, U.S Treasury Secretary Janet Yellen called Bitcoin a highly speculative asset and not fit to be used as a value transmission mechanism.

According to the well-known Bitcoin critic, value transmission through cryptocurrencies is an extremely inefficient way of conducting transactions. Her comments have not slowed down investments in the sector. Software company MicroStrategy owns Bitcoin worth billions of US dollars. The company's CEO Michael Saylor sees Bitcoin as a better store of value than gold and other precious metals.

Recently, the company announced that non-employee board members will now be paid using Bitcoin.

Bitcoin BTC $ 63,252.02 -0.45% +0.44% +9.18% baseUrl = "https://widgets.cryptocompare.com/"; var scripts = document.getElementsByTagName("script"); var embedder = scripts[scripts.length - 1]; var cccTheme = {"Chart": {"fillColor": "rgba(248,155,35,0.2)", "borderColor": "#F89B23"}}; (function () { var appName = encodeURIComponent(window.location.hostname); if (appName == "") { appName = "local"; } var s = document.createElement("script"); s.type = "text/javascript"; s.async = true; var theUrl = baseUrl + 'serve/v1/coin/chart?fsym=BTC&tsym=USD'; s.src = theUrl + (theUrl.indexOf("?") >= 0 ? "&" : "?") + "app=" + appName; embedder.parentNode.appendChild(s); })(); See Details The post Federal Reserve Chairman Jerome Powell Calls BTC A ‘Speculative Asset’ Amid Coinbase Direct Listing first appeared on BitcoinExchangeGuide. origin »

Bitcoin price in Telegram @btc_price_every_hour

Hedge (HDG) на Currencies.ru

$ 0.4864 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 47.56 %
Cегодня L: $0.4864 - H: $0.4864
Капитализация $1.804m Rank 99999
Доступно / Всего 3.71m HDG

largely due years two institutional hedge against

Источник: bitcoinexchangeguide.com

largely due → Результатов: 78


Фото:

Ethereum’s Reaction to This Crucial Support Level Will Determine its Fate in 2020

Ethereum has seen some lackluster price action in recent times, largely facing sideways trading similar to that incurred by Bitcoin and the entire crypto market It has posted some signs of weakness throughout the past several hours due to it dipping below its well-established trading range This has led it down to what analysts are describing as a “crucial level,” and its reaction here could determine its fate in the months ahead One venture capitalist […]

2020-6-21 22:00


Фото:

Bitcoin Largely Remains Uncorrelated to Stock Market, Crucial Data Shows

Bitcoin has shown some signs of being correlated to the stock market over the past few months, especially during times of bear-favoring turbulence This correlation, however, does not appear to be as striking as it seems, as data suggests that its macro-correlation to most traditional assets remains incredibly low One analyst explains that it has moved in tandem with other assets during sharp declines due to the crisis nature of some of these selloffs That […]

2020-6-18 02:00


Bitcoin [BTC]: ‘Toxic Culture’ feud grows as Blockstream co-founder blocks Samson Mow on Twitter

Over the past 48 hours, the Bitcoin community has been largely divided due to its contrasting opinions on the prevalent Bitcoin [BTC] culture on social media. A large part of the community had deemed itself “toxic,” in terms of how new people in the community were treated, whereas some suggested that few people simply did […] The post Bitcoin [BTC]: ‘Toxic Culture’ feud grows as Blockstream co-founder blocks Samson Mow on Twitter appeared first on AMBCrypto.

2019-5-28 22:30


Bitcoin Applauded For Its Associated Initiatives In Venezuela By Open Money Initiative CoFounder

Bitcoin Applauded For Its Associated Initiatives In Venezuela Many supporters of the digital currency have always advocated for the use of cryptocurrencies as a daily mode of transaction. Bitcoin and other digital assets in Venezuela have been on the rise largely due to the drastic economic and political collapse in the country. Recently, during a […]

2019-5-23 19:33


Craig Wright understands human psychology more than he does Bitcoin, says Ciphrex’s Eric Lombrozo

The true identity of Satoshi Nakamoto has always been a mystery, with a host of speculations failing to nail down a real name behind the pseudonym. Craig Wright is one name that pops up regularly in this debate, largely due to the fact that he has repeatedly claimed to be the ‘real’ Satoshi Nakamoto and […] The post Craig Wright understands human psychology more than he does Bitcoin, says Ciphrex’s Eric Lombrozo appeared first on AMBCrypto.

2019-4-10 16:30


Фото:

Xiaomi’s Redmi 6 Pro offers two-day battery life on the cheap

Chinese phone manufacturer Xiaomi earned the crown of the top smartphone company in India, largely due to its wide range of budget phones costing between $80 and $200. The new Redmi 6 Pro is the company’s first attempt to bring a dual-camera setup to that segment, while sticking with the Redmi series’ core strengths of sturdy build quality and great battery life.

2018-9-28 15:14


Фото:

DevCon 4 Will Set the Stage for Ethereum’s Next Milestone: Constantinople

Ethereum is embracing the Constantinople milestone at the end of November 2018, after DevCon4 in Prague. Constantinople is the latest Ethereum release, introduced through a hard fork, that will include five Ethereum Improvement Proposals (EIPs):Bitwise shifting instructions (EIP 145) in the Ethereum Virtual Machine (EVM) allow for direct manipulation of bytes on the EVM layer.

2018-9-11 18:15


Top 5 Blockchain Scalability Systems And Crypto Projects To Keep Tabs On

As blockchain technology continues to gain traction amongst the masses, more challenges arise as a result of its popularity. While the disruptive potential of distributed ledger technology is irrefutable, its application to real-life situations is largely impractical, mainly due to expensiveness and incompetent infrastructure.

2018-8-9 13:11


дальше еще 29 новостей →

Партнеры Currencies.ru



Реклама на Currencies.ru

Самое свежее на Currencies.ru

Bitcoin price prediction: Is Strategy’s 1,550 BTC buy a bullish signal after the crash?

Strategy bought 1,550 BTC after a rare 32 BTC sale. Bitcoin is stabilising near $63K after a sharp 20% monthly drop. Analysts split on whether the $60K support will hold or break lower. Bitcoin has been moving through a volatile stretch marked by sharp liquidations, uneven recovery attempts, and conflicting signals from both technical indicators […] The post Bitcoin price prediction: Is Strategy’s 1,550 BTC buy a bullish signal after the crash? appeared first on CoinJournal.