US Federal Reserve Chairman Jerome Powell responded to reporters' questions about Bitcoin reserves in a press conference on 12/18. He cited the Federal Reserve Act, stating that the Fed is not allowed to hold Bitcoin and currently has no plans to amend this law, and any changes would need to be decided by the US Congress, which is beyond the Fed's authority.
Reporters asked about the possibility of Bitcoin reserves, Powell: 'Not in accordance with the Federal Reserve Act'
During the open Q&A session, Powell was asked about the trend of some countries gradually shifting their cryptocurrency policies, and whether the Fed might establish Bitcoin reserves. However, Powell stated that the Fed's responsibility is to act according to existing laws, and according to the Federal Reserve Act, the Fed is not allowed to hold Bitcoin or other cryptocurrencies. He emphasized that this issue should be decided after being reviewed by the US Congress.
The Fed's focus is on controlling inflation and stabilizing the economy
Powell repeatedly emphasized during the press conference that the Fed's dual mandate is to promote 'job growth' and 'price stability,' and the primary goal of current policies is to lower the inflation rate to stabilize at 2%.
Powell pointed out that although the US economy is performing strongly, the labor market is stable, and the inflation rate has significantly decreased from its peak, it still takes time to achieve the established goals. He also revealed that the current monetary policy has been reduced by a full percentage point from its peak, the restrictiveness of the policy stance has clearly decreased, and future considerations for further adjustments to the policy interest rate will be more cautious to ensure economic stability while maintaining price stability.
Bitcoin reserves are not a priority for the Fed, and there is no urgency to change policies
Powell mentioned that topics like Bitcoin reserves or policies related to cryptocurrencies are not currently the Fed's focus. He added that despite the significant global attention on Bitcoin and other cryptocurrencies and their many supporters, incorporating these assets requires comprehensive consideration, including the potential impact of cryptocurrencies on financial stability, regulation, and monetary policy. 'We will continue to monitor the development of cryptocurrencies, but currently, it is not urgent for the Fed,' Powell stated.
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This article discusses the ongoing topic of Bitcoin reserves! US Federal Reserve Chairman Powell: The Fed is not permitted to hold Bitcoin and other cryptocurrencies, first appeared in Chain News ABMedia.
