Bitcoin’s value often encounters several bearish thoughts on its way down, arguing that the commodity should not have been trading at such an elevated level at the beginning. In a new conversation with CNBC Squawk Box, Judy Shelton, an economic advisor to ex President Donald Trump, expressed her thoughts on the digital currency.

It’s worth noting that the decentralized essence of digital currencies drew people in. Shelton chastised digital currencies, believing that they were not a “reliable store of value,” particularly when consumers wanted to convert Bitcoin to fiat at the end of the day. Shelton, on the other hand, argued for a more centralized edition, dubbed the digital dollar. She said that the Fed need to be more efficient, and that citizens should be “concerned” about the possibility that the Fed would destroy the market at some stage. As a result, Bitcoin and other cryptocurrencies are doomed.

Who is Judy Shelton? Trump's controversial Fed nominee, explained. - Vox

Shelton is one of those who thinks Bitcoin’s store of value theory is flawed. Luke Ellis, the CEO of Man Group, previously said that he does not see any need for businesses to keep Bitcoin on their account balances. Rather, he considers Bitcoin as a trading tool that isn’t suitable for a lengthy asset allocation strategy.

Shelton, who is recognized for her support for a return to the gold standard and her critiques of the Federal Reserve, was taken aback by the officials’ remarkable accommodativeness with Fintech innovation. She expressed her delight in the fact that Fintech is “healthy” in general. She believes that virtual currency such as Bitcoin and Ether are at a drawback, particularly when considered with fiat currency. She wrote,

All of the cryptocurrencies have one big disadvantage compared to the dollar: when you use them to make purchases you end up having to pay capital gains taxes–I can see benefits to having a digital dollar, and we don’t want China to get ahead of us on that. 

LEAVE A REPLY

Please enter your comment!
Please enter your name here