Jerome Powell, who is the 16th and the current Chairman of the US Federal Reserve, has weighed in on what’s perhaps one of the biggest discussions amid the cryptocurrency community.
According to the high-ranked official, Bitcoin is far from achieving mass adoption as a means of payment, but it is a store of value. The Chairman even compared it directly to gold.
… we haven’t seen widespread adoption. Bitcoin is a good example. Really, almost no one uses Bitcoin for payments. They use it more as an alternative to gold, really. It’s a store of value, it’s a speculative store of value, like gold.
The Chairman of United States central bank when asked about Bitcoin:
"They use it as a store of value…like Gold….that's not to say we won't see it & if we do see it yes you could see a return to an era in the US when we had many different currencies…"
— Luke Martin (@VentureCoinist) July 11, 2019
Interestingly enough, his comments were made as an answer to the question of whether or not the widespread adoption of cryptocurrencies would dimish or remove the need for a reserve currency.
Powell answered that while this hasn’t happened yet, “that’s not to say we won’t see it and if we do see it, yes, you could see a return to an era in the US when we had many different currencies…”