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George Ma
April 18 12:44

Brian Armstrong, Coinbase CEO: some of U.S. government stimulus payments went into bitcoin

Brian Armstrong, Head of Coinbase, thinks that some U.S. citizens used a one-time financial support of US$1200 from US government to help survive the COVID-19 pandemic to buy cryptocurrency.
Brian Armstrong is certain - bitcoin deposits grow with the same volume as support approved by the US Congress. As part of the anti-crisis package, most adult Americans received US$1200 and an additional US$500 for each child under 16 years of age.
On April 15, when financial support reached 80 mln Americans, there was an anomaly, Coinbase saw the spike of seposits for the same amount, it went up by fourfold, from 0.1% to 0.4%.
Reasons for this could have been fears in hyperinflation due to unprecedented measures of the government and the Fed. Previously, many members of the cryptocurrency community, including the head of Pantera Capital Dan Morehead, predicted that the price of bitcoin would rise during the crisis.
On the eve, Bitcoin recovered to US$7000 in less than a day, breaking through a downstream channel. It is not known whether the US government's stimulus payments played a role in this, as Brian Armstrong hinted.