Today, US President Trump commented on Bitcoin and Facebook Libra for the first time. He first sprayed Bitcoin and other decentralized password currency is air, not money, and then Libra is not very reliable, it needs to be regulated like a bank. The final point is to blow the dollar, hey, his original words are like this:
- Weekly Bitcoin Positions Report | Many types of accounts show a bearish attitude and further callback danger signals appear?
- Quotes: The total transaction volume of 140 billion US dollars has reduced the amount of imagination.
- Has Bitcoin's energy consumption level reached its historical peak and has an impact on the climate?
- Forbes: Fear of New Crown Virus May Make Bitcoin Break $ 10,000
- The fee is too low and the privacy function is missing. The new paper raises two major issues of the Lightning Network
- Market analysis: funds are afraid of the situation, no trend opportunities
I am not a fan of Bitcoin and other cryptocurrencies. They are not money, and the value is fluctuating, all based on air. Unregulated cryptographic assets can promote illegal behavior, including drug trafficking and other illegal activities…
…. Similarly, Facebook's Libra virtual currency does not have any status or reliability. If Facebook and other companies want to become a bank, they must seek a new bank charter and be regulated by relevant regulations, just like other banks (including state-owned banks).
.. At the international level, the United States has only one real currency, and it is stronger than ever. It is trustworthy and reliable. It is by far the most important currency in the world, and it will remain in this state for a long time. Its name is the US dollar! ” Regarding the first article, bitcoin and other cryptocurrencies are based on air. I think everyone has heard that many departments of the US government (including the Department of Homeland Security, the Food and Drug Administration, NASA, etc.) are studying. Or put in the blockchain.
Bitcoin and other cryptocurrencies are based on blockchains. If they are based on air, then the US government is investing a lot of resources to study the air…
Then, Trump said that unregulated cryptographic assets can promote illegal behavior, including drug trafficking and other illegal activities. This seems to be very reasonable. In fact, careful consideration is simply a nonsense because the reality is that it is regulated. The dollar is precisely the main reason for promoting drug trafficking and other illegal activities. Technology is only a tool, and human nature is fundamental!
Then, Trump talked about Libra again. Obviously, his attitude toward the issuance of virtual currency by big companies is still a bit polite. The core requirement is that Libra is regulated. Of course, if Libra does not have a dollar in a basket of currencies, Trump I am afraid that it is another way.
Finally, Trump said that he only recognizes that the US dollar is the best currency. Let us first review the historical performance of the US dollar:
“In the past 25 years, the dollar has depreciated by 40%.
In the past 48 years, it has been since 1970. The dollar depreciates 80%
In the past 76 years, that is, since 1942, the dollar has depreciated by 94%." Basically, the annual inflation rate of the US dollar is stable at the level of 1.5%-3%.
Of course, the inflation level of the US dollar is relatively low compared to most French currency. This is worthy of recognition. However, what does it mean by Trump's "air" bitcoin?
Let's compare the actual performance of Bitcoin for 10 years:
Since the birth of Bitcoin, its value has risen from near zero to the current level of $11,400. During the 10 years of this period, the daily fluctuations of Bitcoin are like this:
2019 YTD: +0.58% In these 10 years, Bitcoin's performance in only 2 years is bad, and it can be said that it is basically close to stable upward fluctuations.
The future is unpredictable, but in the past 10 years, Bitcoin’s performance has been ruining the dollar.
Finally, rationally speaking, Trump is the president of the United States. Naturally, his speech cannot be sentenced from the heart. These words are inevitable, but they do not necessarily represent their true thoughts. Perhaps one day he changed his mind. It.