Trump weighs in on crypto

Trump weighs in on crypto

US president Donald Trump has turned his Twitter hose on cryptocurrency and Facebook's Libra, declaring himself unimpressed by bitcoin and warning the social media firm that if it wants to get into the payments game it will have to apply to become a fully licensed bank.

Trump's late-night Twitter habit is famed for its intemperate tone, political point scoring and occasional insights into the administration's future policy.

In his latest salvo, the US President has dismissed cryptocurrency as 'based on thin air' and distinctly un-American when weighed against the stability of the US dollar.

"I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air. Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity," he first tweeted, before turning his ire on Facebook.

Trumps comments come just a week after House Democrats in the US Congress called on Facebook to cease work on its proposed cryptocurrency, citing the social media giant's recent travails over privacy issues as a glaring threat to the functioning of the world economy.

The US Federal Reserve has also weighed in. Jerome Powell, head of the Fed, told House lawmakers on Wednesday that the US' central bank has "serious concerns" about Libra. Both the Federal Reserve System and a separate panel called the Financial Stability Oversight Council are meeting to discuss Libra alongside global policy makers, Powell said.

Crypto markets shrugged off Trump's tirade, with bitcoin trending up to stand at $11.618 in morning trading.

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