The head of the Fed bank considers the crypto space “a giant junk …

The head of the Fed bank considers the crypto space “a giant trash can”

Federal Reserve Chairman Jerome Powell does not rule out the prospects for national digital currencies, but him colleagues at the Federal Reserve Bank of Minneapolis are extremely negative about cryptocurrencies.

Fed President Neil Kashkari spoke Tuesday at an event in Montana where responded about cryptocurrencies as a “giant trash can”.

Only the US government has the authority to create dollars. This limitation is an one of elements making their valuable. There are thousands of junk coins in the world of virtual currencies and cryptocurrencies “, – stated Kashkari.

The head of the Fed bank considers the crypto space 'a giant junk ...

He also noted that cryptocurrencies have made it possible to “rip off tens of billions of dollars“, And spoke positively about the work of the Securities Commission and exchanges (SEC), which “Intervened to put this end”. Kashkari admits that in 5-10 years in the digital space assets can appear what-then worthwhile, but “everything, that arose to this day, – this blazing garbage “.

In one with Kashkari it is difficult not agree. Together with cryptocurrencies came a huge number of fraudulent schemes on ignorant investors. is he, but, forgets on the other side: full-fledged technology projects and investors, timely investments which paid off with more than. Besides Togo, their solutions in space blockchain develop such company, like Facebook, JP Morgan and IBM.

The head of the Fed bank considers the crypto space 'a giant junk ...

Shortly before of this Powell reported, that the Fed does indeed conduct research in areas state digital currency, highlighting, that the signal to action was the Libra stablecoin project announced by Facebook.