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Russian Putin says cryptocurrencies have “value”, but may not be suitable for oil trading

Russian President Vladimir Putin will give a speech at the Russian Energy Week event held in Moscow, Russia on October 13, 2021.

Mikhail Arkadyv | Getty Images

Russian President Vladimirputin believes cryptocurrencies are valuable, but he is not confident that they will be able to replace the US dollar in the settlement of oil transactions.

A few months ago, Russia’s deputy prime minister, Alexander Novak, suggested that if the United States continued to impose targeted economic sanctions, it could move away from greenback-denominated crude oil contracts.

Asked if Bitcoin or another cryptocurrency could be used instead of the dollar, Putin said, “It’s too early to talk about trading energy resources in cryptocurrencies.”

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“I believe it’s worth it,” he told CNBC’s Hadley Gambling at the Russian Energy Week event in Moscow on Wednesday. “But I don’t think it can be used in the oil trade.”

“Cryptocurrencies are not yet supported by anything,” Putin said. “It may exist as a means of payment, but I think it’s too early to talk about cryptocurrency oil trading.”

Russian leaders have also flagged the massive energy consumption of cryptocurrencies as a potential barrier to their use. Bitcoin requires a lot of computing power to process transactions and create new tokens.

Russian Putin says cryptocurrencies have “value”, but may not be suitable for oil trading

Source link Russian Putin says cryptocurrencies have “value”, but may not be suitable for oil trading

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