Federal Reserve Chairman Jerome Powell testified before the House Financial Services Committee on Wednesday morning and is scheduled to testify again before the Senate Banking Committee on Thursday. Powell spoke about the Fed's 2% inflation target and why he believes the Fed needs time to review further inflation data before cutting rates.
Sen. Cynthia Lummis (R-Wyo.), a member of the Senate Banking Committee, joins Yahoo Finance to discuss what she plans to ask Mr. Powell, from quantitative easing to the impact of inflation on individuals. Senators are also debating regulations regarding Bitcoin.
While Lummis is pushing for a regulatory framework for cryptocurrencies, he feels Bitcoin is becoming a safer investment for consumers: “I think Bitcoin is going to be okay this year. The first 11 approved exchange-traded funds (ETFs) also include some funds.''One of the longest names in the world of highly stable financial services is drawing people to Bitcoin exchange-traded funds. That's going to happen. Eventually, you'll feel secure that it's a place where you can engage with Bitcoin without making yourself uncomfortable. Another thing that will happen with Bitcoin is that it will undergo a halving in April. This means that half as many Bitcoins will be produced every 10 minutes, and the scarcity built into Bitcoin's protocol will begin to impact its ability. The price will rise because you will have a more solid asset. ”
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Editor's note: This article was written by Nicholas Jacobino
