#PowellRemarks

Jerome Powell, the Federal Reserve Chair, has made notable remarks about cryptocurrency, particularly Bitcoin. Here are some key points:

- *Bitcoin as a Competitor to Gold*: Powell views Bitcoin as a competitor to gold, rather than the US dollar, due to its speculative nature and high volatility. He likened Bitcoin to gold, stating it's "just like gold, only it's virtual".

- *Not a Form of Payment*: According to Powell, people are not using Bitcoin as a form of payment or a store of value, but rather as a speculative asset.

- *Stablecoin Regulation*: Powell emphasized the need for clear regulatory guidelines on stablecoins, which could gain "fairly wide appeal" if properly regulated.

- *Federal Reserve's Role*: The Fed's role is to observe how digital assets interact with the banking system, but it does not regulate crypto assets. Powell also clarified that the Fed is not allowed to own Bitcoin and is not seeking a law change.

- *Market Impact*: Powell's remarks have impacted the crypto market, with Bitcoin's price surging past $99,000 after he compared it to gold. However, his cautious approach to rate cuts and comments on potential Bitcoin reserves have led to mixed market reactions.

These remarks reflect the Fed's nuanced view on cryptocurrencies, recognizing their growing importance in the financial ecosystem while also highlighting the need for regulatory clarity.