#Economists oppose the Fed investing in Bitcoin.#

Recently, old-school American economists have strongly opposed the proposal to allocate US reserve funds to Bitcoin. Steve Hanke, a professor at Johns Hopkins University, believes that shifting funds to Bitcoin could hinder economic growth because these savings are not invested in real capital assets. He emphasizes the importance of improving productivity for improving living standards and calls the idea of ​​a Bitcoin reserve "the dumbest idea." Professor Hanke's view is that Bitcoin, as a virtual currency, lacks real value and cannot promote economic growth like traditional assets. He believes that investing funds in real capital assets that can improve productivity, such as infrastructure construction, technological research and development, etc., is the key to promoting economic growth. On the other hand, Senator Cynthia Lummis has proposed the Bitcoin Act to establish a Bitcoin strategic reserve, aiming to purchase 1 million BTC. This proposal has sparked controversy over Bitcoin as a reserve asset. Supporters argue that Bitcoin has decentralized, anti-inflationary features and can serve as a new reserve asset, bringing new vitality to the US economy. Opponents argue that Bitcoin prices fluctuate wildly and lack stability, making it unsuitable as a reliable reserve asset. The core of this debate is whether Bitcoin can become a viable reserve asset and its impact on the US economy.