Putin Says Crypto Has Value, but Its Usage Is Limited

Today, during the Russian Energy Week conference, Russia’s president Vladimir Putin said that cryptocurrencies can be used as a unit of account. At the same time, he mentioned that it's still soon to tell if crypto can be used in energy transactions or not.

Asked if BTC or other cryptocurrencies can serve as an alternative to the U.S. dollar, Putin said that the assets have value, but it's early to consider them as a means for trading precious metals or energy resources like oil. He mentioned that crypto isn't supported by anything, and the market is volatile.

Another barrier to crypto usage is the massive energy consumption, said Putin. Also, he noted that the sphere has been evolving.

In June, Russia’s deputy Chairman, Alexander Novak, said that the country may replace dollar-based contracts if the U.S. keeps imposing economic sanctions. Putin says the policy of the U.S. of using the USD as a sanction tool is a huge mistake. It leaves no option but to switch to other currencies.