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 conversation, Kashkari was asked about the possibility of the Fed putting Bitcoin on its balance sheet, to which he responded by questioning the cryptocurrency’s value. He argued that Bitcoin’s market cap is poised to collapse to zero, likening it to the plush toys that drove Americans into a buying frenzy in the 1990s.
Kashkari went on to criticize Bitcoin, stating that it has no real utility in the economy other than being a “nice toy” for some people to own and trade. He also raised concerns about the use of Bitcoin for illicit activities, suggesting that most people are using the cryptocurrency to subvert banking regulations.
This is not the first time Kashkari has expressed skepticism towards cryptocurrencies. In early 2020, he referred to digital assets like Bitcoin as a “giant garbage dumpster” and praised the U.S. Securities and Exchange Commission for cracking down on initial coin offerings.
Despite Kashkari’s criticisms, Bitcoin continues to trade at a high value, with a price of $69,320 per coin at the time of publication. Critics and supporters alike continue to debate the future of cryptocurrencies in the global economy.
