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Gary Schollsberg, a global strategist at Wells Fargo, said the U.S. Federal Reserve. Negative interest rates are unlikely to be introduced in the short term.
These forecasts were sent to CNBC yesterday through an interview with Schollsberg.
“The Federal Reserve will do everything to maintain liquidity”
Negative interest rates currently seem unlikely. Europe has already tested the idea with mixed results, and Schollsberg argues that there are too many “unintended consequences” for negative interest rates.
Negative interest rates would effectively mean that the Federal Reserve would charge fees for money to commercial banks. However, this “fee” would probably also be passed on to consumers.
BeInCrypto reported last year that German banks have been playing with the idea for some time.
If negative interest rates become the “new normal”, then Bitcoin
BUY NOW could prove to be an appropriate hedge and would be a natural catalyst for the public to move away from mainstream banking.
With Bitcoin’s third cut in half behind us, BTC currently has a lower inflation rate than the other Fiat currencies. Annual emissions are currently at 1.8% of half the global average.
If the US Federal Reserve introduced negative interest rates, it would be unprecedented. Although it could boost consumer spending in the short term, its consequences could be far more serious than economists and policy makers recognize. Fortunately, there are new alternatives to traditional banking that offer us a way out.
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As a leading blockchain and fintech news company, BeInCrypto always strives to comply with strict editorial guidelines and the highest journalistic standards. With this in mind, we always encourage and encourage readers to do their own research into the information contained in this article. This article is intended as news and is for informational purposes only. The topic of the article and the information provided may have an impact on the value of a digital or cryptocurrency asset, but is never intended. Likewise, the content of the article and the information contained therein do not intend and do not intend to provide sufficient information for a financial or investment decision. This article is not expressly intended as financial advice, it is not financial advice and should not be construed as financial advice. The content and information in this article have not been prepared by a certified financial professional. All readers should always conduct their own due diligence with a certified financial professional before making an investment decision. The author of this article may have any amount of Bitcoin, cryptocurrencies, other digital currencies, or financial instruments at the time of writing, including but not limited to those listed in the content of this article.
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