The president of the Federal Reserve Bank of Minneapolis, Neel Kashkari, took a jab at Dogecoin (DOGE) concluding week by referring to the memecoin as a Ponzi scheme, upping his rhetoric against cryptocurrencies.
Kashkari’due south comments were in response to a LinkedIn poll by Paul Grewal, the chief legal officer and corporate secretarial assistant of Coinbase, who asked his connections nearly the proper way to pronounce “Doge.”
“The correct pronunciation is pon-zi,” Kashkari quipped.
This isn’t the first time Kashkari has taken aim at cryptocurrencies. In Feb 2020, he said digital assets similar Bitcoin (BTC) lack the bones tenants of a stable currency and praised the Securities and Exchange Committee for “cracking down” on initial coin offerings.
Kashkari is not a member of this year’due south Federal Open Market Commission, the group responsible for setting United States monetary policy. The Minneapolis branch of the Fed will serve every bit an alternating FOMC member in 2022 before rotating dorsum onto the commission every bit a voting member in 2023.
While Kashkari isn’t voting on monetary policy this twelvemonth, he opposes any measures to hike interest rates before 2023. The Fed’southward dot-plot summary of interest rate forecasts released final week suggests that policymakers are eyeing a resumption of charge per unit hikes by the terminate of 2023, which is before than previously expected.
Related: Archetype bearish nautical chart pattern forms for Bitcoin as BTC price tumbles to $32K
The revised forecast may take contributed to the abrupt rise in the U.S. dollar at the expense of equities, commodities and even cryptocurrencies. Digital nugget values were down across the board on Sunday, extending a precipitous correction from terminal calendar week’southward mild recovery.
Assets like DOGE flare-up into the mainstream before this year with retail-driven FOMO that was aided by favorable tweets from Tesla CEO Elon Musk. The hype surrounding Dogecoin even eclipsed that of Bitcoin in January every bit tweet volumes surged one,800%. But as crypto values plunged, DOGE was hit particularly hard. As Cointelegraph reported, Dogecoin liquidations briefly surpassed those of Bitcoin in April.