President Trump slammed the cryptocurrency market on Thursday, claiming that the digital assets are "not money" and their value is "based on thin air".
President Donald Trump railed against cryptocurrencies and specifically called out Bitcoin and Libra, Facebook's new cryptocurrency that is backed by companies like Uber and Mastercard.
The U.S. president described cryptocurrencies as "volatile" and "unregulated" in a series of tweets published late Thursday.
Next week, officials for Facebook's Libra will testify in front of USA legislators to address their concerns around the systematic risk and privacy concerns a crypto backed by the social media giant poses. "If Facebook and other companies want to become a bank, they must seek a new Banking Charter and become subject to all Banking Regulations, just like other Banks, both National [and international]".
Trump ended his remarks by promoting the United States dollar. It is by far the most dominant currency anywhere in the World, and it will always stay that way.
Bitcoin did not react to Trump's anti-crypto comments, last trading almost up 1% on the day at $11,447, according to Kitco's aggregated charts.
At the time of writing, Bitcoin is trading down over 7% at its current price of $11,550, which marks a significant drop from its 24-hour highs of roughly $12,500 that were set yesterday.
Despite this, the current narrative circulating on the web is that Fed Chairman Jerome Powell's recent comments on Facebook's Libra being risky.
"Libra raises many serious concerns regarding privacy, money laundering, consumer protection and financial stability", Powell said while addressing the U.S. House of Representatives Financial Services Committee yesterday. This article is strictly for informational purposes only.