POTUS has recently issued a new economic report under the Biden administration. This report is making rounds on social media since it has included several points regarding Bitcoin and other cryptocurrencies.
Legal experts have declared that this report has made use of the word cryptocurrency in 305 different places. There are also negative interjections added from the regulators in this new economic report.
The media outlet has suggested that this report has described cryptocurrencies as an asset class that has no intrinsic value. The report has focused on various cryptocurrencies in different portions and paragraphs. The report talked about Ethereum’s transition from PoW to the PoS consensus model.
However, the report does not provide a detailed account of the native verification method for the Bitcoin blockchain. The report highlighted that Bitcoin has decided to stay immutable in terms of its consensus mechanism.
The report has made note of the energy consumption matter regarding Bitcoin. However, it has refrained from comparing the energy consumption of the Bitcoin consensus model with the power required to run the traditional banking sector.
The report has also talked about Bitcoin miners who have switched to renewable energy sources. The report has concluded that more than 59% of all Bitcoin miners depend on green energy sources.
The report has informed that Bitcoin takes up only 0.42% of global power consumption. On the other hand, this report has also shed light on the increasing volatility of Bitcoin cryptocurrency that coincided with the brief banking crisis.
This report also intends to make the $250K insurance limit per person by FDIC. During 2019 and 2021, Bitcoin prices were appreciated by 1000% and it remained in the red zone in 2021-2022 experiencing a decline of 70%.
The Trading Risks Associated with Bitcoin Trading
This economic report has maintained a positive view concerning Bitcoin for the most part. However, it has talked about the probability of Bitcoin can collapse on account of absorbing the shock from the recent banking crisis in TradFi.
However, the report has also maintained that Bitcoin and cryptocurrencies are an innovation and they are here to stay.
This report has also reflected some light on the scarcity of Bitcoin and the total capped 21 million coins. Nevertheless, the economic report has ranked below the fiat currencies that are issued by the Central Banks.
This report also claimed that cryptocurrencies do not offer any fundamental value and therefore should not be used as a substitute for sovereign currency. The report added that since fiat currencies are backed by the entire centralized banking network; therefore, it is more reliable and valuable than Bitcoin.
Citex Crypto Exchange Review 2023 – Is Citex.io Safe and Legit?
Court Approves FTX’s Sale of $873 Million Worth of Grayscale, Bitwise Trust Assets.
Canadian Public Reluctant Towards Digital Currency Adoption
You have not selected any currencies to display