{"id":208028,"date":"2021-03-22T17:04:15","date_gmt":"2021-03-22T14:04:15","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoin-is-more-a-substitute-for-gold-than-the-dollar-fed-chair-powell\/"},"modified":"2021-03-22T17:04:15","modified_gmt":"2021-03-22T14:04:15","slug":"bitcoin-is-more-a-substitute-for-gold-than-the-dollar-fed-chair-powell","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoin-is-more-a-substitute-for-gold-than-the-dollar-fed-chair-powell\/","title":{"rendered":"# Bitcoin is &#8216;more a substitute for gold than the dollar&#8217; \u2014 Fed Chair Powell"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a406fdc2caab\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a406fdc2caab\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-is-more-a-substitute-for-gold-than-the-dollar-fed-chair-powell\/#Powell_takes_issue_with_Bitcoins_backi\" >Powell takes issue with Bitcoin&#8217;s backi<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-is-more-a-substitute-for-gold-than-the-dollar-fed-chair-powell\/#Fiat_has_%E2%80%9Cpublic_benefit_in_mind%E2%80%9D\" >Fiat has &#8220;public benefit in mind&#8221;<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Bitcoin is &#8216;more a substitute for gold than the dollar&#8217; \u2014 Fed Chair Powell <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-5a136f3a>While Bitcoin (BTC) is too volatile to be money and &#8220;backed by nothing,&#8221; it could be a &#8220;substitute for gold,&#8221; says the Chair of the United States Federal Reserve.<\/p>\n<p><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.youtube.com\/watch?v=G5bVtzQt4Uc\">Speaking<\/a> at an event hosted by the Bank for International Settlements (BIS) on March 22, Jerome Powell delivered frank comments in response to a question on cryptocurrency.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Powell_takes_issue_with_Bitcoins_backi\"><\/span>Powell takes issue with Bitcoin&#8217;s backi<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Asked whether he thought Bitcoin and other cryptocurrencies posed a threat to financial stability, Powell wheeled out familiar arguments that long come from legacy finance figures.<\/p>\n<p>&#8220;Cryptoassets \u2014 we call them &#8216;cryptoassets&#8217; \u2014 they&#8217;re highly volatile, see Bitcoin, and therefore not really useful as a store of value, and they&#8217;re not backed by anything,&#8221; he said.<\/p>\n<blockquote><p>&#8220;They&#8217;re more of an asset for speculation, so they&#8217;re not particularly in use as a means of payment. It&#8217;s more a speculative asset, it&#8217;s essentially a substitute for gold rather than for the dollar.&#8221;<\/p><\/blockquote>\n<p>Powell&#8217;s words provide some of the most direct Fed opinion on Bitcoin to go public in recent times, and build on a perspective <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/BarrySilbert\/status\/1149416924771704832\">offered<\/a> in 2019. They also come weeks after incoming Treasury Secretary Janet Yellen made her misgivings about decentralized cryptocurrencies clear.<\/p>\n<p>As with Yellen, Powell <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>eared to spark a burst of negative market sentiment, with BTC\/USD dropping by almost $1,000 following his response.\u00a0<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-03\/1924895f-38ce-4bc9-bb5a-fa3c75701599.png\"><figcaption style=\"text-align: center;\"><em>BTC\/USD 1-hour candle chart (Bitstamp). Source: Tradingview<\/em><\/figcaption><\/figure>\n<p>For all their disagreements, however, Powell and Bitcoin&#8217;s biggest proponents thus agree on the cryptocurrency&#8217;s status as a new form of gold.<\/p>\n<p>The verdict could hit home hard for gold bugs hostile to Bitcoin, notably Peter Schiff, who continues to claim that fate is on his side when it comes to generational stores of value.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Fiat_has_%E2%80%9Cpublic_benefit_in_mind%E2%80%9D\"><\/span>Fiat has &#8220;public benefit in mind&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Together with BIS <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> manager Augustin Carstens and Jens Weidmann, President of the German Federal Bank, Powell also looked at stablecoins as they relate to the ongoing trend of central bank digital currencies (CBDCs).<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.google.com\/search?q=jens+weidmann&amp;rlz=1CAMWDF_enDE919&amp;tbm=isch&amp;source=iu&amp;ictx=1&amp;fir=RvVisRWocbdBWM%252CUiQ7x_Ddyh9SIM%252C%252Fm%252F0cm9mr3&amp;vet=1&amp;usg=AI4_-kR5Dmn7KcAQaUAZZDgkaWPlm0oKPg&amp;sa=X&amp;ved=2ahUKEwjl6OLThMTvAhXpsosKHThdA5AQ_B16BAgpEAI#imgrc=RvVisRWocbdBWM\"><\/a><\/p>\n<p>Here, the talk was less unsual, with the speakers repeating known stances involving the separation of private stablecoins and bank-operated CBDCs.\u00a0<\/p>\n<p>&#8220;To the extent a stablecoin is backed by sovereign currencies of leading nations, that&#8217;s certainly an improvement over cryptoassets, I would say,&#8221; Powell continued.<\/p>\n<blockquote><p>&#8220;But nonetheless, where&#8217;s the credibility come from? It comes from that sovereign currency that is the backstop.&#8221;<\/p><\/blockquote>\n<p>Fiat currencies, he said, are &#8220;issued with the benefit of the public in mind&#8221; while emphasizing that stablecoins will not serve as the basis for the global financial system in the future.\u00a0\u00a0<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/bitcoin-is-more-a-substitute-for-gold-than-the-dollar-fed-chair-powell\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Bitcoin is &#8216;more a substitute for gold than the dollar&#8217; \u2014 Fed Chair Powell &#8221; While Bitcoin (BTC) is too volatile to be money and &#8220;backed by nothing,&#8221; it could be a &#8220;substitute for gold,&#8221; says the Chair of the United States Federal Reserve. Speaking at an event hosted by the Bank for International&#8230;<\/p>\n","protected":false},"author":1,"featured_media":208029,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDMvZjQyNmEyZTgtNzFjNi00YTA2LWI5NDAtYTQ2MGFiZDBhYmJiLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,75022,70550,71835,73785],"class_list":["post-208028","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-central-bank","tag-federal-reserve","tag-gold","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/208028","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=208028"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/208028\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/208029"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=208028"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=208028"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=208028"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}