Federal Reserve Chairman Jerome Powell has spoken in favour of privacy and the importance of this privacy, especially with cryptocurrency transactions. According to him, privacy is needed and should be embraced.
Powell made these comments during his testimony before the House Financial Services Committee about the current economic policies in the U.S. His comments seemed to have a positive reaction from cryptocurrency proponents all over social media.
In a recent tweet, popular crypto bull and Morgan Creek Capital Management founding partner Anthony Pompliano quoted Powell’s exact words. According to Pompliano, Powell said:
“A ledger where you know everybody’s payments is not something that would be particularly attractive in the context of the US.”
Calls for a digital dollar are slowly increasing in frequency. Kryptomoney recently reported a Federal Reserve board member said the institution was researching distributed ledger technologies for the purpose of a digital dollar. Powell’s comment seems to suggest that while that would be a great idea, doing this without privacy just might not.
Powell made several other comments in his testimony which lasted almost three hours.
As part of his speech, he made comments about Facebook’s Libra and how it could affect monetary policy. He also spoke about inflation rates, saying that the 2% target is lower than the Fed prefers at the moment.
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