The President of the Federal Reserve Bank of Dallas stated that Bitcoin is clearly a “store of value.” He emphasized the difference between cryptocurrencies such as Bitcoin and central bank digital currencies, which he said “is not necessarily a store of value.”

Federal Reserve Bank Governor calls Bitcoin a store of value

Robert Kaplan, President of the Federal Reserve Bank of Dallas, spoke about Bitcoin and Central Bank Digital Currency (CBDC) at the 2021 Texas A&M Bitcoin Conference hosted by Mays Business School on Friday. ).

First, Kaplan explained that he will distinguish between Bitcoin and central bank digital currencies. He said: “I will distinguish between cryptocurrencies like Bitcoin and discussions about digital currencies.” For example, China’s digital renminbi experiment.

He went on to explain that the challenge for Bitcoin is “will be widely adopted.” The President of the Federal Reserve Bank of Dallas stated:

Now, it is clear that this is a store of value.

He continued: “Obviously, its value is great.” “This may prevent it from spreading too far as a medium of communication and widespread adoption, but it can change and it will continue to evolve.”

The governor of the Federal Reserve Bank also confirmed that he and his team “have conducted in-depth research and will continue to study Bitcoin and other cryptocurrencies.”

Then he talked about the central bank’s digital currency and emphasized:

The discussion of digital currency around the world is slightly different, because digital currency is not necessarily a store of value.

“If you are worried about the value of the base currency, the digital currency is likely to be linked to the value of the base currency, for example in China,” he added, adding, “This is also a domestic currency that is easy to pay. Pay first, then Send the money where it is needed.”

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Kaplan further pointed out: “In some cases, you may argue in China that this is a method of monitoring traffic… and then how big the amount will be monitored eventually, and people have been speculating about global payments and their meaning. “

As for the digital dollar, Fed Chairman Jerome Powell said in February that the Fed is actively studying the possibility of issuing a digital dollar. He emphasized that this is a “very priority project” for the Fed. At the same time, the Federal Reserve Bank of Boston and the Massachusetts Institute of Technology (MIT) plan to launch at least two digital dollar prototypes in the third quarter of this year.

What do you think of the President of the Dallas Federal Reserve Bank of Bitcoin? Let us know in the comments section below.

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Bitcoin Value Repository, CBDC, China, Dallas, Digital Dollar, Digital RMB, Federal Reserve, Federal Reserve, Federal Reserve Bitcoin, Rob Kaplan, Robert Kaplan, Store of Value

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