The president of the Federal Reserve Bank of Minneapolis, Neel Kashkari, has returned to pointed to Bitcoin by stating that the world’s largest cryptocurrency by market capitalization has “little” practical use
The president of the Federal Reserve Bank of Minneapolis, Neel Kashkari, has returned to pointed to Bitcoin by stating that the world’s largest cryptocurrency by market capitalization has “little” practical use
During his appearance Wednesday at the Williston Basin Petroleum Conference 2024, he opined that Bitcoin is neither an investment nor a currency.
Of course, Kashkari has long been a critic of the largest cryptocurrency and the industry in general. Earlier this year, he disputed The usefulness of Bitcoin since it failed to act as a hedge against inflation.
In November 2022, he said the entire notion of crypto was “nonsense” following the implosion of the FTX exchange.
In 2021, the chairman of the Federal Reserve fixed that the industry was mostly “fraud, hype and noise.” During the same year, he jokingly compared Bitcoin to Beanie Babies.
Rates should remain stable
Kashkari has also stated that Federal Reserve rates should remain stable for now.
As Guru-Investingreported, Bitcoin price managed to break above the $65,000 level today for the first time since early May following encouraging US inflation data.
The Federal Reserve is now expected to cut rates at least twice this year. However, according to Kashkari, the central bank needs more to determine where inflation is headed.
Before the latest CPI reading, he didn’t even rule out another rate hike.
Federal Reserve Chairman Jerome Powell has stressed the need for patience in addressing inflation. Powell believes the Federal Reserve’s current policy is efficient enough.
