ST. LOUIS — As the value of Bitcoin topped $50,000 for the primary time, St. Louis Fed President Jim Bullard mentioned the cryptocurrency poses no menace to the U.S. greenback within the international economic system.
“I simply suppose for Fed coverage, it will be a greenback economic system so far as the attention can see,” Bullard said in an interview with CNBC Tuesday. “A greenback international economic system, actually, so far as the attention can see — and whether or not the gold value goes up or down, or the Bitcoin value goes up or down, does not actually have an effect on that.”
One motive, he mentioned, is that the majority traders desire a “secure haven” and “steady retailer of worth,” which Bitcoin does not have but.
Bullard mentioned the proliferation of privately issued, competing currencies comparable to Bitcoin, might be problematic.
“You do not need to go to a non-uniform forex the place you are strolling into Starbucks and perhaps you may pay with Ethereum, perhaps you may pay with Ripple, perhaps you may pay with Bitcoin, perhaps you may pay with a greenback. That is not the manner we do that. We now have a uniform forex.”
Click here for the complete story from the St. Louis Enterprise Journal.