In a historic move, Bitcoin received notable support from two key global leaders. On December 4, 2024, Jerome Powell, the Chair of the US Federal Reserve, and Vladimir Putin, President of Russia, acknowledged the importance of Bitcoin independently during different events. Their comments hint at a potential shift in the international financial system as Bitcoin gains broader recognition.<\/p>\n
At the New York Times DealBook Summit, Jerome Powell discussed cryptocurrencies with Andrew Sorkin, particularly focusing on Bitcoin’s increasing role and the potential for a strategic BTC reserve in Washington. He characterized the Federal Reserve’s stance on cryptocurrency:<\/p>\n
\u201cWhat\u2019s important is two things: How should crypto assets be integrated into the banking system and ensuring the safety of the banking sector. Our goal is to manage the banking system effectively to prevent any risks from crypto interactions.\u201d<\/p>\n
Powell also highlighted the Federal Reserve’s commitment to consumer protection: \u201cIt\u2019s vital for people to comprehend what crypto products are. While we ensure consumer safety, we don\u2019t declare direct regulations and our involvement is limited.\u201d<\/p>\n
When asked about owning Bitcoin, Powell simply stated, \u201cI\u2019m not allowed to.\u201d<\/p>\n
When Sorkin mentioned that Bitcoin might reflect public sentiment towards the US dollar or Federal Reserve, Powell clarified, \u201cPeople mainly see Bitcoin as a speculative asset similar to gold. It\u2019s volatile and not used primarily as a payment method or value storage; it’s more like a competitor to gold in its essence.\u201d<\/p>\n
On the same day, President Putin addressed the Russia Calling forum, discussing the weakening status of the US dollar and the emergence of new financial instruments. He asserted that innovations like Bitcoin are essential for transforming the global economy.<\/p>\n
\u201cThe US benefits significantly from using the dollar as a global currency,\u201d Putin remarked. \u201cThis allows the US to leverage other economies. While it\u2019s easy to impose restrictions on dollar usage, alternative methods are becoming more prominent.\u201d<\/p>\n
He emphasized, \u201cWho can really ban Bitcoin? No one. Likewise, no one can stop other digital payment methods. These technologies will continue to evolve, regardless of what happens with the dollar, as there’s a universal push towards efficiency and trust.\u201d<\/p>\n
Putin also noted the global transition away from the dollar: \u201cEven the US’s allies are diversifying their currency reserves away from the dollar and euro.\u201d<\/p>\n
\nToday\u2026<\/p>\n
Jerome Powell: \u201cIt\u2019s just like gold only it\u2019s virtual. It\u2019s digital. People are not using it as a form of payment or as a store of value. It\u2019s highly volatile. It\u2019s not a competitor for the dollar. It\u2019s a competitor for gold.\u201d<\/p>\n
Vladimir Putin: \u201cFor example, Bitcoin, who\u2026 pic.twitter.com\/kWenz2kMJB<\/a><\/p>\n