Fed Chair Powell met with Coinbase CEO Brian Armstrong in May

Coinbase Founder and CEO Brian Armstrong attends Consensus 2019 on the Hilton Midtown on May 15, 2019 in New York City.

Steven Ferdman | Getty Images

Federal Reserve Chairman Jerome Powell met in May with Brian Armstrong, the CEO of cryptocurrency alternate Coinbase, central financial institution data present.

The gathering occurred May 11 and was one in all solely two conferences the Fed chief had with CEOs in the course of the month. The solely different one which month was with Jamie Dimon, the top of JPMorgan Chase, the biggest financial institution in the U.S. by belongings.

The Fed declined remark past what was on Powell’s schedule.

Powell’s assembly with Armstrong comes amid heightened scrutiny of cryptocurrency buying and selling as costs for digital cash have soared. Explosive features in merchandise similar to bitcoin, Ethereum and dogecoin have been linked to fears of inflation, which has been in flip linked to simple Fed financial coverage.

The Fed is also in the midst of exploring its personal central financial institution digital forex, with a paper due out this summer time on what the ramifications may be. However, a number of outstanding central financial institution officers in current days have forged doubts on whether or not a CBDC is required.

Former House Speaker Paul Ryan additionally was listed as an attendee on the assembly with Powell and Armstrong.

Armstrong met with a number of Washington political leaders across the identical time. On May 14, he tweeted an image of himself with Ryan and one other with present House Speaker Nancy Pelosi. A 21-part thread Armstrong despatched on the visits didn’t point out the assembly with Powell.

“The politicians and company heads I met with have been all considerate and dedicated people, and I used to be blissful to have our groups linked, and new friendships shaped,” Armstrong stated in one of many tweets.

Similar to the opposite conferences, it is anticipated that the Fed’s transfer to institute a digital forex was a subject of the Amrstrong-Powell assembly.

Coinbase is the biggest U.S. cryptocurrency alternate, with 56 million verified customers and $223 billion in belongings throughout its platform. In April, it turned the primary crypto alternate to go public, itemizing its shares on the Nasdaq immediately. Coinbase shares traded round buying and selling at $241 on Friday.

The firm’s income is basically pushed by buying and selling charges, 81% of which come from retail buying and selling and 5% from institutional buying and selling, in keeping with Canaccord Genuity. It has the very best buying and selling charges throughout crypto exchanges.

—Tanaya Macheel contributed to this report.

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