FED Chairman Jerome Powell Makes Surprising Statement About Bitcoin (BTC)

Jerome Powell spoke about US monetary policy, Bitcoin (BTC), and cryptocurrencies ahead of December’s interest rate decision.

Fed Chairman Jerome Powell made several important statements during his speech at the DealBook Summit held at the New York Times last night.

Powell discussed US monetary policy, Bitcoin (BTC), and cryptocurrencies ahead of December’s interest rate decision.

While markets expect the Fed to cut rates by 25 basis points in December, Powell did not mention whether it would cut rates for a third time in a row. Instead, he signaled caution in cutting rates.

Furthermore, Powell also had important comments on Bitcoin and said that BTC is currently a rival to gold and not the US dollar.

Powell issued the following statement:

People use Bitcoin as a speculative asset. Just like gold. Bitcoin is just like gold – just virtual and digital.

People don't use it as a form of payment or store of value. It's too volatile.

Bitcoin is not a competitor to the dollar; it is actually a competitor to gold.

When asked if he owns any cryptocurrencies, Powell replied that his position does not allow him to hold such assets.

This statement by Jerome Powell also affirmed Bitcoin's current position in the financial system, as this asset is gradually being widely adopted and becoming more popular.