Jerome Powell, the Federal Reserve chairperson, has been facing criticism for his stance on using the same approach that helped the US get rid of inflation several decades ago. Arthur Hayes, the founder of BitMEX, has argued that the current economic and monetary conditions in the US are vastly different from what they were in 1980, and that the Fed is doomed to fail if it continues to use the same playbook.Hayes believes that Bitcoin’s value proposition lies in its ability to counteract a fiat system that he describes as “flawed, corrupt, and parasitic” in nature. He has argued that the Federal Reserve’s plans to tighten monetary policy by raising interest rates and reducing its balance sheet will only benefit the wealthy asset holders. He also believes that the US fixed-income markets are no longer free, and that the entity overseeing the space has the power to print money at will and unilaterally change the banking and financial rules.Hayes believes that as long as the Fed is committed to its current path, tech stocks and crypto will continue to rise. He also believes that a dysfunctional US Treasury market is beneficial for risk assets of finite supply, like Bitcoin. Despite the recent sell-off and increased bearish pressure, Hayes believes that Bitcoin will continue to trade around $25,000 in the third quarter of the year.

Information	Details
Geography	North America
Countries	🇺🇸
Sentiment	neutral
Relevance Score	8
People	Jerome Powell, Arthur Hayes, Fed, US Treasury, Bitcoin
Companies	Federal Reserve, BitMEX, US Treasury, Binance, PrimeXBT
Currencies	Bitcoin, Ethereum, USD, Fed, BitMEX
Securities	None