Fed Chair Powell: "₿itcoin is a Store of Value Like Gold" - July 11th 2019

Once people thought antiques were good SoV. Well, no more:

https://www.nytimes.com/2018/03/03/style/how-low-will-market-for-antiques-actually-go.html

The Declining Value of Antiques
Compared with the heyday of antiques collecting, prices for average pieces are now “80 percent off,” said Colin Stair, the owner of Stair Galleries auction house in Hudson, N.Y. “Your typical Georgian 18th century furniture, chests of drawers, tripod tables, Pembroke tables,” he noted, can all be had for a fraction of what they cost 15 to 20 years ago.

In 2002, Mr. Stair sold a set of eight George III-style carved mahogany chairs for $8,000; in 2016, he sold a similar set of eight chairs for $350.
 
lovethetrade said:
If you decode their comments carefully I think you can see where this is heading. They are gearing towards acceptance of Libra as the first stable coin for payments backed by government-issued currency and Bitcoin as a legitimate 'universal' store of value.

They've known about Libra for ages and probably had hundreds of meetings behind closed doors already. This is simply PR work and playing to the script. The interests of Facebook and the US government are one and the same.
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I like this analysis! :D
 
Pekelo said:
...drop 20% its value in 24 hours or less?
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and also go up 20% in the same time frame... Anyone who can't handle the downside is not deserving of the upside.

By the way, let's take a SoV Real Estate asset (you won't like it if it's land, so let's take a house investment). $500,000 purchase price, you put $100K downpayment, let's say all the fees were paid for by the seller. You know, I've been tracking listings on Zillow and Redfin and I'm seeing a lot of houses/condos for sale with prices being priced lower, so in your scenario, if you wanted to get out in 24 hours, how much loss do you think you'll take on your $100K investment? Escrow time is how long?

Just be a little fair with your analysis of SoV asset bitcoin when compared with other traditional SoV assets. I see your other post supports this line of thinking. And if SoV investment is not for you, it is for other folks, like wealthy individuals or families, you know what I'm saying....
 
johnarb said:
My friend, you have 2 messages there and I don't want to put words in your mouth. So on one note, you're saying he's wrong to compare bitcoin to gold, got it, you're more of an authority because you're an ET poster and you know more about markets and assets and such.

The other message is that you're saying he was lying (maybe you meant misleading) because he didn't really mean bitcoin is like gold a speculative asset and store of value, and to prove it, you say he's not trading it for the fed gold stash/cash. I think you have to be careful with this message. Powell knows how powerful his words are, and if he's found to be issuing a statement he doesn't believe to be true in front of a Senate Banking Committee, no less, well you know, that's not a message that should be taken lightly, yours or his.
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%%
With all due respect jonarb, you have a pretty good imagination to pretend Fed head is making some kind of buy on bitcon, or even a real comparison to gold.Really??

Good point also ;because talk is cheap.Gold has been coined for thousands of years, but never mind that huh, 'cause Fed head maybe , maybe not, made a real general comparison?? But since he has not traded his FED cash /gold stash for bitcon-talk is cheap.Thanks:cool::cool:
 
murray t turtle said:
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With all due respect jonarb, you have a pretty good imagination to pretend Fed head is making some kind of buy on bitcon, or even a real comparison to gold.Really??

Good point also ;because talk is cheap.Gold has been coined for thousands of years, but never mind that huh, 'cause Fed head maybe , maybe not, made a real general comparison?? But since he has not traded his FED cash /gold stash for bitcon-talk is cheap.Thanks:cool::cool:
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Of course! One has to have a wild imagination to believe in the feasibility of the bitcoin concept (Whitepaper)!

Talk is cheap for most people, but the Fed Chairman is no ordinary person. His words are meticulously calculated and this was not a comment that was said in a moment of inattention. It was rehearsed and discussed with his team and advisors.

In the past, the stance of the Fed has been along the lines of "bitcoin is not a legitimate asset that is part of our financial system as such we would not comment on it" or something like "we don't recommend bitcoin as an investment"...

As you can see, the latest testimony in front of the Senate Banking Committee where Powell can get in trouble for issuing false statements, is quite a bit more than "cheap talk" as you label it.
 
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