Pro-Crypto Comments From the Fed Chair Begs the Question – Where Do
Pro-Crypto Comments From the Fed Chair Begs the Question – Where Do Others Stand?
During testimony Thursday before the House Financial Services Committee, Federal Reserve Chair Jerome Powell dropped a bombshell when he said he does not intend to ban cryptocurrencies or Bitcoin.
The two-hour long meeting was originally intended as a forum for congressional reps to get an update on pandemic preparedness from the Treasury Department and Federal Reserve. However the leaders from the Fed and Treasury fielded several questions about cryptocurrencies.
The most significant exchange of the day occurred between Federal Reserve chair Powell and Rep.Ted Budd (R-N.C.), a member of the Congressional Blockchain Caucus and a staunch crypto supporter. Congressman Budd asked Powell to clarify statements made back in July when the central bank chief said creation of a U.S. central bank digital currency (CBDC) could reduce the need for private stablecoins and cryptos in general
When representative Budd point blank asked if the Fed head planned to “…ban or limit the use of cryptocurrencies…” Powell’s response was a resounding “No.”
“[I have] no intention of intention to ban them,”
Powell said.
However, Powell did say stablecoins need greater regulatory oversight, comparing them to bank deposits or money market accounts.
“They’re to some extent outside the regulatory perimeter, and it’s appropriate that they be regulated. Same activity, same regulation [as deposits and money markets],”
he said.
That got us thinking at the DailyCoin, it might be timely to draw the Bitcoin battle lines between bears and bulls among Wall Street investors and traders to see where they stand. But not the regular pundits such as the Michael Saylors, Warren Buffets, Elon Musks, Jamie Dimons of investing, but rather names you may not have heard from before – traders a few steps down the financial food chain.
Bloomberg has a great roundup article that catalogs the comments of dozens of professional inventors and their respective stances on the topic of cryptocurrencies and Bitcoin over the years. Here are some sample quotes, with corresponding links to their source articles.
BITCOIN BULLS
JEFF CURRIE
GLOBAL HEAD OF COMMODITIES RESEARCH, GOLDMAN SACHS GROUP INC.
“I don’t see why there is all this hostility to it.” Bitcoin is “not much different than gold” because it doesn’t have liability attached to it, by definition, like a security.
TRAVIS KLING
FOUNDER, IKIGAI ASSET MANAGEMENT, A CRYPTO HEDGE-FUND
“It’s too good a store of value to be a good value of exchange. If the expectation is the price is going to increase meaningfully, you don’t want to pay out all of your Bitcoins for everyday use.”
BILL MILLER
FOUNDER, MILLER VALUE PARTNERS
“If inflation picks up, or even if it doesn’t, and more companies decide to diversify some small portion of their cash balances into Bitcoin instead of cash, then the current relative trickle…
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