Investing.com — Federal Reserve Chair Jerome Powell confirmed on Wednesday that the U.S. central bank has no intention to be involved in any government initiative to hold significant quantities of bitcoin. This announcement was made at a press conference following the Federal Open Market Committee meeting, where policymakers reduced rates as anticipated, while indicating a less predictable course for monetary policy in the upcoming months.

Powell clarified that the Federal Reserve is not permitted to own bitcoin. He further emphasized that the legal complexities surrounding the holding of bitcoin are matters for Congress to deliberate, but the Federal Reserve is not seeking any alterations to the law.

Powell’s comments were in response to the potential for central bank participation in the concept of the government establishing what is referred to as a Strategic Reserve once the President-elect Donald Trump assumes office. Following Powell’s remarks, the value of the digital asset, which has experienced a significant rally since the election, declined.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.


Source link

Best Brokers

Unmatched trading fees, generous bonuses, top notch Regulation Frame.

T&Cs Apply

Risk disclosure: All investments involve a degree of risk of some kind. Trading financial derivative products comes with a high risk of losing money rapidly due to leverage.

Top-Tier Regulations. Unmatched Spreads and Commissions. Trading View is available.

T&Cs Apply

Financial Spread Trades and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 84.7% of retail investor accounts lose money when trading CFDs with this provider.

Modern and Intuitive Interfaces, Solid Regulatory Frame, and excellent Trading Fees.

T&Cs Apply
Risk warning: Trading derivatives is highly speculative, carries an inherent risk of loss and is not suitable for all investors. Before trading, you are strongly advised to read and ensure that you understand the relevant risk disclosures and warnings.

Highly Regulated. Low Spreads and Commissions. Vast Account Options.

T&Cs Apply

Risk Warning: Trading derivatives carries significant risks. It is not suitable for all investors and if you are a professional client, you could lose substantially more than your initial investment.