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, Janet Yellen: “Bitcoin is highly speculative», Forex-News, Forex-News
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Janet Yellen: “Bitcoin is highly speculative»

, Janet Yellen: “Bitcoin is highly speculative», Forex-News, Forex-News

, Janet Yellen: “Bitcoin is highly speculative», Forex-News, Forex-News

Treasury Secretary Janet Yellen told CNBC’s Sara Eisen that Bitcoin is highly speculative. In addition, investors should be very careful with some sectors.

Specifically, that there might be parts of the US stock market that investors should be wary of.

Janet Yellen with Sara Eisen

In the interview aired on Closing Bell, Janet Yellen indicated that she believes the higher valuations of the stocks are understandable. Given the monetary policy of the Federal Reserve.

Janet Yellen, who assumed the position of Secretary of the Treasury at the end of January indicated: “Well, in part we are in a very low interest rate environment».

Also, he added: «And while valuations are very high, in a world of very low interest rates, adjusted multiples tend to be high. That said, there may be sectors, in which we must be very careful».

As a curious fact, Yellen did not specify which sectors he was referring to.

In particular, the comments came in response to Sara Eisen’s question. Who asked if Yellen thought it made sense for major US stock indices to trade near all-time highs during the pandemic and related economic damage.

Also, he asked about the movements of large stocks in initial public offerings.

Bitcoin is highly speculative

For her part, Janet Yellen said that she considers Bitcoin to be a “highly speculative asset.” He also noted that it has experienced high levels of volatility in recent years.

Very importantly, when asked if he thinks it is necessary to regulate it, Yellen said that any action must be aimed at protecting investors.

“I think it is important to make sure that it is not used as a vehicle to generate transactions. And that there is protection for investors.

«And then, regulate the institutions that operate with Bitcoin. Making sure they meet their regulatory responsibilities. I think it is certainly important».

Position on cryptocurrencies

To recall, at a virtual hearing of the United States Senate Finance Committee in January, Yellen made headlines for her response to Sen. Maggie Hassan’s question.

Specifically, Yellen referred to cryptocurrencies as a growing concern in the United States. He said that they were used «mainly for illicit financing».

He indicated that the US government needed to examine ways to “restrict” the use of cryptocurrencies. As part of your anti-money laundering efforts.

However, he stated: «I think it is important that we consider the benefits of cryptocurrencies. And the potential they have to improve the efficiency of the financial system».

I close with this phrase from Confucius: «Better than the man who knows what is fair, is the man who loves what is fair».

, Janet Yellen: “Bitcoin is highly speculative», Forex-News, Forex-News

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, Janet Yellen: “Bitcoin is highly speculative», Forex-News, Forex-News

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