US President Donald Trump has lashed out at cryptocurrencies – focusing specifically on Bitcoin and Facebook ‘s Libra project, and insisting that the social network and other symbolic publishers “face global rules” if they intend to “become” a “bank”.
In three highly formulated tweets, Trump stated: “I am not a fan of Bitcoin and other cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air.”
….Similarly, Facebook Libra’s “virtual currency” will have little standing or dependability. 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…
— Donald J. Trump (@realDonaldTrump) July 12, 2019
Some cryptocurrency lovers have used social media to expose the president’s comments, but just as many have said the outburst is likely to be a disguised blessing – helping provide cryptocurrency with further recognition and exposure.
Tron ‘s Justin Sun responded by inviting Trump to a lunch meeting with crypto leaders and Warren Buffett, saying the president was “misled by fake news.”
In both cases, Trump has recently joined the ranks of other officials who have accidentally developed a case for Bitcoin and show why it is better compared to traditional fiat money systems.
By the way, two digital coins with a Trump theme are circulating in cryptoverse:
- TrumpCoin (TRUMP) (1,386th by market capitalization) – “TrumpCoin-helping to Make America Great Again by supporting President Trump in his fight against fake news, corruption and the deep state.” It has fallen by 8% in the last 24 hours.
- President Trump (PRES) (2,283rd by market capitalization) – “The most current price for one President Trump [PRES] is $ 0.004386,” according to Coinpaprika.com. The price has fallen by 4%.
Other responses to the recent Trump tweet:
THE LIBERALS HAVE TO LIKE BITCOIN NOW HAHA
— Zack Voell (@zackvoell) July 12, 2019
Trump tweets about Bitcoin. Bitcoin price doesn’t notice.
Trump noticed Bitcoin
Bitcoin didn’t notice Trump
— farbood (@farbood) July 12, 2019
The likelihood that crypto is going to move to front and center of the 2020 presidential debates has meaningfully increased in the last 48 hours.
— Travis Kling (@Travis_Kling) July 12, 2019
4/ Why? Because this is the first serious payment innovation in decades. Yes, #crypto is used for illegal activities, but much less frequently than the dollar is—& crypto is easier to track (check w/ the FBI!). Mr President, you don’t need to choose between #crypto & the dollar!
— Caitlin Long 🔑 (@CaitlinLong_) July 12, 2019
Achievement unlocked! I dreamt about a sitting U.S. president needing to respond to growing cryptocurrency usage years ago. "First they ignore you, then they laugh at you, then they fight you, then you win”. We just made it to step 3 y'all. https://t.co/N3tzUKELaK
— Brian Armstrong (@brian_armstrong) July 12, 2019
Possibly the largest bull signal for BTC ever. Crypto now a Presidential / Global policy issue. People everywhere will embrace a mix of sovereign and non-sovereign digital currency. https://t.co/PK79wmCddM
— Jeremy Allaire (@jerallaire) July 12, 2019
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And a few words from the Fed
Meanwhile, the Chairman of the Federal Reserve Jerome Powell said in a meeting about the US Senate Commission on Facebook and Libra that he could foresee a future where multiple currencies could be used in the country, with Bitcoin being one of these.
Powell equated the scenario with America’s national banking age – the period mid-late 1800 between the establishment of chartered banks and the launch of the Federal Reserve in the mid-1910s.
The Chairman of the Federal Reserve said, “Really almost no one uses Bitcoin for payments, they use it more as an alternative to gold. It is a store of value – a speculative store of value, like gold. ”
He said about Libra: “The size of Facebook’s network means it could be – essentially – immediately systemically important.”
Highlight: “We haven’t seen widespread adoption [of cryptocurrencies]… really almost no one uses bitcoin for payments… it’s a store of value… like gold,” says Fed Chair Jerome Powell. “That’s not to say we won’t see it.” https://t.co/xpAujlCWBd pic.twitter.com/zhZd6IkuI7
— Yahoo Finance (@YahooFinance) July 11, 2019