The President of the US Central Bank says that banks can serve cryptocurrency customers

Questions from journalists answer on Wednesday (29), Jerome PowellPresident of the Central Bank (FED) spoke about the use of Bitcoins by banks. Because of their lines, Bitcoin jumped over $ 104,000.

For this, Powell announced that the council of Fed decided to keep the interest rates in the current reach of 4.25% to 4.5%Giving a break in the cuts.

Another highlight was a comment about one declaration Elon Musk, who is now part of the government of Donald Trump. In December, the billionaire stated on social networks that “The Fed is absurdly overcrowded with employees.”

Jerome Powell talks about banks and Bitcoin

With reference to an earlier FED report, Cryptocurrencies quoted as an economic risk, Bankrate.com Economist Mark Hamrick, doubted the position of the American BC at the moment on this subject.

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Furthermore, Hamrick will also be whether the FED is worried about the financial health of small investors with exposure to these speculative and non-regulated assets or that cryptocurrencies have a place in the family portfolios of Americans.

“Our role with Bitcoin, with cryptocurrencies, really looks at the benches”Powell replied. “We believe that they are perfectly capable of operating cryptocurrency customers while they recognize and manage the risks.”

“A large number of our banks, which we regulate and guide, do it [trabalham com criptomoedas].

After this, the president of the FED points out that banks have high limits to get involved in cryptocurrency activities.

“This is because [esses ativos] They are very young and we don’t want to make the mistake … If you choose to take this activity to a bank, protected by deposit guarantees by the FED, you must ensure that it is a safe and solid activity “Continued Powell.

“We are not against innovation and certainly do not want to take action that rejects banks that are completely legal due to excessive risk version that may be related to regulations and supervision.”

Again asked if ordinary people should invest in cryptocurrencies, Powell said that this is not “ballet”, that is, this is not a subject for the FED.

“You want people to be aware of the financial involvement they have and that is why we have securities laws.”the president of the Fed continued.

“It would be useful if there was a regulator about cryptocurrencies and I believe it works hard […] It would be very constructive for the congress.

The full video, where Powell talks about other American economic issues, including immigration and Elon Musk attacks on the FED, can be viewed below. At the time of this newsroom, Bitcoin is negotiated for $ 104,300.

Source: Live Coins

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