Janet Yellen, the former head of the Federal Reserve System (FRS), is expected to assume the position of finance minister in the new Joe Biden administration. And this is good news for Bitcoin, says co-founder of Morgan Creek Digital Anthony Pompliano in his letter to investors.
Yellen was Head of the Federal Reserve from 2014 to 2018. During this time, she left several negative comments about Bitcoin, calling it an „unstable source of value“ and a „highly speculative asset“.
Yellen is a classic Keynesian economist. She is of the opinion that the economy can only function normally if the central bank intervenes.
Given the high unemployment caused by the coronavirus pandemic, Yellen will start using all monetary stimulus tools in her new position, co-founder of Morgan Creek Digital expects.
„Janet Yellen is likely to become Bitcoin’s biggest ally in the next four to eight years,“ wrote Pompliano.
He suggested that Yellen’s appointment, with her position on the injections into the economy, suggests that high inflation is coming. In this case, the first cryptovolta will win regardless of whether it happens or not.
„When people think that high inflation is coming, they move their capital into assets that are protected from it,“ said co-founder Pompliano.
Recall that in July 2017 Janet Yellen’s appeal to the US House Financial Services Committee was interrupted by an unknown man holding a poster urging him to buy Bitcoin.