#Economists oppose the Fed investing in Bitcoin.#

Recently, old-school economists in the United States 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, which would fail to improve productivity and thus affect the improvement of living standards. He even called the idea of ​​Bitcoin reserves "the stupidest idea." This view stands in stark contrast to the "Bitcoin Act" proposed by Senator Cynthia Lummis, which aims to establish a Bitcoin strategic reserve and purchase 1 million BTC. At the heart of this debate is whether Bitcoin can become a viable reserve asset or is merely a distraction. Opponents argue that Bitcoin lacks intrinsic value and its price volatility is too high to serve as a stable and reliable reserve asset. Supporters, on the other hand, believe that Bitcoin's decentralized and censorship-resistant features can provide investors with a safe haven asset and drive innovation in the financial system. This debate will continue, and the ultimate outcome will depend on Bitcoin's future development and market acceptance.