Jerome Powell’s latest remarks (18 June 2025) show that his stance towards crypto is still cautious and regulatory focused. Here are some important points that are relevant for the crypto market:
🧠 Powell’s stance towards crypto – June 2025
1. No direct crypto remarks, but the signals are clear
Powell did not directly mention crypto in his press conference, but some policies and stances indirectly impact crypto:
Stablecoins & Digital Dollar: In earlier statements, Powell has said:
“Stablecoins should be subject to strong federal oversight. If they’re going to be a means of payment, they must be safely and soundly regulated.”
The Fed is still in a “no rush” position on CBDC (Central Bank Digital Currency) – indicating that Powell wants to allow private crypto, but with control.
2. Inflation Control vs. Risky Assets
Powell said that inflation is still above the target (2%), and there is a risk of further increase due to tariffs. This means:
There could be short-term pressure on risky assets like crypto.
Delay in rate cuts will reduce liquidity, which can slow speculative markets (like crypto).
3. Regulatory Coordination
Powell has also said this before:
“We don’t want to stand in the way of innovation… but where the public’s money is at risk, strong regulation is needed.”
This signals that the Fed is not against innovation, but investor protection comes first.
📉 Crypto Market Reaction
Bitcoin and Ethereum took a minor dip after Powell, as the impact of the rate cut delay affected sentiment.
Altcoins and meme coins remain more volatile.
🔮 Summary: Powell's Crypto Stand
MoodPowell's RukhStablecoinsStrong regulation requiredCBDC (Digital Dollar)Slow & cautious developmentBitcoin & CryptoInnovation allowed, but focus on risksRate cutsDelay in crypto market pressureTariff/inflation linkCost-push inflation will indirectly affect crypto
