The U.S. Bureau of Labor disclosed the April Consumer Price Index (CPI) yesterday evening, with an annual increase of 3.4%, in line with previous expectations; a monthly increase of 0.3%, which was also lower than market expectations and the previous value of 0.4%. In addition, core CPI The annual growth rate fell further to 3.6%, the smallest increase since April 2021.
Slowing CPI data shows that inflation in the United States has cooled down, and investors' expectations for the Fed to cut interest rates have increased again. Both the U.S. stock market and the cryptocurrency market have ushered in a new wave of gains. BTC earlier exceeded $66,000.
Fed official Kashkari: Bitcoin is neither an investment tool nor a currency
Just as the crypto market is reigniting its rally, Minneapolis Federal Reserve Bank President Neel Kashkari once again reiterated his view : Bitcoin has almost no practical uses and is neither an investment tool nor a currency.
In fact, Neel Kashkari has been a Bitcoin skeptic for a long time. He once criticized 95% of cryptocurrencies in 2021 as fraud, hype, noise and chaos. He criticized cryptocurrencies for not only promoting illegal activities such as drug trafficking and prostitution, but he did not see any Any other use. Three years later, Bitcoin is gradually being adopted by institutions as investment portfolios, and blockchain technology is improving day by day, but Neel Kashkari still sticks to his point of view, and he also remains skeptical about the value of central bank digital currency (CBDC).
Fed Governor Bowman: States are open to dialogue on stablecoins
On the other hand, Federal Reserve Governor Bowman was asked at the DC Blockchain Summit yesterday (15th) what role states and the federal government should play in dealing with stablecoin issues. In this regard, Bowman said that states are open to dialogue on the expansion of the stablecoin field, but for her, it is important to have a cooperative relationship:
The U.S. currency poses risks that may require protection, such as the risk of a run.
So from a Fed perspective, we have to be able to participate and work with whatever framework is ultimately formed, whether the potential for the U.S. to advance stablecoins is one of the current bills or something else, the Fed should have a seat at the table.
