Fed's Kashkari Slams Crypto as Useless, Praises AI Utility

Neel Kashkari has called cryptocurrencies fundamentally useless for consumers, describing them as speculative and lacking practical value, while highlighting AI's utility and noting economic resilience despite inflation.

Neel Kashkari has reiterated his strong skepticism toward cryptocurrencies, labeling them as fundamentally useless for consumers and equating their use to gambling. He emphasized that cryptocurrencies lack practical utility for everyday financial activities and are highly speculative, offering no meaningful benefits to ordinary users. Kashkari contrasted this with artificial intelligence, which he described as useful and currently being tested in businesses, though not yet leading to significant layoffs. He also discussed broader economic issues, noting that inflation remains a key challenge but is showing signs of easing, and that the economy is resilient with healthy household balance sheets. Kashkari defended the independence of the central bank and clarified that current balance sheet growth does not constitute quantitative easing. Despite his critical stance, Bitcoin continues to reach new highs, highlighting the ongoing debate between regulators and market trends.