'We're not allowed to own bitcoin,' Fed Chair Powell says in light of Trump's strategic bitcoin reserve promise
Powered by @unfolded- Federal Reserve Chair Jerome Powell stated that the Fed is prohibited from owning bitcoin and is not seeking a change in the law regarding this matter.
- The U.S. Treasury is being proposed to purchase one million bitcoin over five years through a draft bill by Senator Cynthia Lummis, while former President Trump supports the idea of a strategic bitcoin reserve.
- Criticism of the strategic bitcoin reserve concept has emerged, including remarks from former Federal Reserve Bank of New York President Bill Dudley, who labeled it a bad idea for Americans.
- Following Powell's comments, bitcoin's value dropped nearly 5%, indicating that investors may have been overly optimistic about the potential for a U.S. bitcoin reserve.