Federal Reserve Bank of Minneapolis President Neel Kashkari has once again taken aim at Bitcoin, comparing the popular cryptocurrency to Beanie Babies in a recent conversation on LinkedIn.
During the discussion, Kashkari was asked about the possibility of the Fed adding Bitcoin to its balance sheet, given the central bank’s ability to print unlimited dollars. In response, Kashkari dismissed Bitcoin’s value, stating that its hard cap is zero and predicting that its market cap will eventually collapse.
Describing Bitcoin as a “nice toy” with no real utility in the economy, Kashkari went on to suggest that most people use the cryptocurrency to evade banking regulations or engage in illicit activities. However, research has shown that the majority of Bitcoin transactions are legitimate.
Kashkari also cautioned against comparing Bitcoin to successful tech companies like Amazon, arguing that Bitcoin has been around for over a decade without any significant use case in advanced democracies.
This is not the first time Kashkari has criticized cryptocurrencies, previously calling them a “giant garbage dumpster” and praising regulatory crackdowns on initial coin offerings. Despite his negative stance, Bitcoin continues to trade at a high price, reaching $69,320 per coin at the time of publication.
