On December 19th, Beijing time, Federal Reserve Chairman Powell clearly stated at the press conference following the December FOMC meeting that the Federal Reserve will not include Bitcoin on its balance sheet. He emphasized that the types of assets the Fed can hold are strictly regulated by the Federal Reserve Act, and Bitcoin is not included among them.
In response to questions from reporters, Powell stated, "We are not allowed to own Bitcoin. The Federal Reserve Act places clear limitations on the types of assets we can hold, and we do not seek to change these rules. This is a decision for Congress, and the Fed has no intention to drive this change."
Bitcoin and the Federal Reserve: A Cautious and Clear Stance
In recent years, cryptocurrencies, especially Bitcoin, have garnered significant attention from global markets due to their volatility in value and potential applications. However, as the central bank of the United States, the Federal Reserve has always maintained a distance from this emerging asset. Powell's statement clearly indicates that the Federal Reserve is not currently considering incorporating Bitcoin or other cryptocurrencies into its monetary policy framework.
The core responsibilities of the Federal Reserve are to ensure the stability of the financial system, promote employment, and control inflation. Despite the rapid expansion of the cryptocurrency market, this type of asset is not yet considered a substantive part of the Fed's policy framework.
Trump's Policies Bring More Uncertainty
The U.S. President-elect, Trump, who is set to formally take office in January 2025, frequently mentioned cryptocurrency policies during his campaign and expressed the desire to make the United States the "world's cryptocurrency capital." This vision starkly contrasts with the Fed's current conservative stance.
During his first presidential term, Trump publicly criticized the speed of policy adjustments by Federal Reserve Chairman Powell and expressed dissatisfaction with the regulation of the cryptocurrency market. As his new administration takes office, there is widespread expectation that the U.S. may adopt more supportive policies for the cryptocurrency industry, adding more uncertainty to the Fed's future policy direction.
Future Outlook: Heightened Debates on Cryptocurrency Policies
The independence of the Federal Reserve has long been valued in the U.S. political system, but policy pressures from the Trump administration may challenge this independence. Although the Fed's current stance is clear, whether its attitude will shift with changes in market and policy environments remains to be seen. In the future, discussions surrounding cryptocurrency regulation and policy may become one of the hot topics in the U.S. economy and financial system.
