Former Texas congressman Ron Paul has once again come to the media’s attention, this time due to criticism of the Federal Reserve. He argued that the new payment processing system planned by the US central bank, FedNow, will do worse than good.
Paul yesterday released a statement for campaignforliberty.org, saying:
“Consumers already have many options to make real-time payments. So the EDF’s decision to start working on a real central bank-controlled payments system – what John Berlau calls “FedNow” – is disappointing. “
Ron Paul is against FedNow
The former congressman has proven himself to be a strong supporter of cryptocurrencies and the philosophy behind financial autonomy and freedom. He explained why he is against FedNow:
“A real-time payment system administered by the Federal Reserve will crowd out private alternatives, leaving consumers with a government-managed option. This will be bad for consumers and entrepreneurs, but it is good for bureaucrats in the EDF who want to keep their power. They will use FedNow to help “protect” the fiat currency system of the Federal Reserve against cryptocurrencies. “
Centralized currency monopolies facilitate volatile trade wars, such as between the US and China. If there is no competition, people have no other option and are obliged to finance these trade wars through the taxes paid.
In an interview with CNBC on July 14, Ron Paul briefly explained his position:
“I am a supporter of cryptocurrencies and blockchain technology, because I like competing currencies.”