In a statement that has caught the attention of cryptocurrency and gold investors, US Federal Reserve Chairman Jerome Powell confirmed that Bitcoin is not considered a potential alternative to the US dollar, but rather closer to gold as a speculative asset.

This came during Powell’s speech at the DealBook Summit organized by the New York Times on Wednesday in Manhattan, where he stated: “It’s just like gold but virtual. People don’t use it as a form of payment or as a store of value. It’s very volatile. It’s not a competitor to the dollar, it’s a competitor to gold.

Powell’s statements come at a time when the new administration of Donald Trump is taking regulatory steps in support of digital assets. Trump nominated Paul Atkins, known for his positive stance on cryptocurrencies, on Wednesday to replace Gary Gensler, who took a hard line against the sector after the market collapsed in 2022 due to fraud scandals and major losses.