Russian President Vladimir Putin has once again taken the crypto world by storm. Speaking at the 15th VTB ‘Russia Calling’ Investment Forum in Moscow, Putin declared that Bitcoin and other cryptocurrencies cannot be banned. His statement not only reinforces support for digital currencies but also signals a strategic move away from reliance on the US dollar.
Key Highlights from Putin’s Speech
1. Unstoppable Bitcoin Adoption
Putin emphasized that cryptocurrencies like Bitcoin offer an alternative payment option for trade settlements. He pointed out that no authority can restrict their usage, marking a strong endorsement for decentralized digital assets.
2. Cost-Effective Payments
Digital currencies are seen as a way to reduce the cost of payment services. Putin noted that such methods will continue to grow, as businesses and governments aim to cut costs and increase reliability.
3. Crypto-Friendly Laws in Russia
Recently, Putin signed a new bill recognizing cryptocurrencies as property in foreign trade, exempting them from VAT for miners. These actions highlight Russia’s shift toward becoming more crypto-inclusive.
Why This Matters
1. Strategic Ditching of the US Dollar
Putin’s backing of cryptocurrencies aligns with Russia’s long-term plan to reduce dependence on the US dollar. This move is part of a broader trend among BRICS nations, seeking alternatives to traditional financial systems.
2. Strengthening Bitcoin’s Global Role
By declaring Bitcoin as an unstoppable instrument for payments, Russia joins the growing list of countries supporting cryptocurrencies as legitimate financial tools.
3. Economic Resilience
Amid sanctions and economic pressures, crypto adoption could provide Russia with greater financial independence, helping to bypass traditional systems.
The Bigger Picture
Putin’s pro-crypto stance coincides with a broader geopolitical shift. While Russia is solidifying its crypto-friendly position, tensions between the US and BRICS nations over the establishment of a new international currency are heating up. Last week, former US President Donald Trump strongly opposed the creation of a BRICS currency, adding to the global financial friction.
What Lies Ahead?
Russia’s growing support for Bitcoin could inspire other nations to follow suit, further legitimizing crypto as a global payment tool. For investors and traders, these developments might be a sign of increased adoption and bullish momentum for Bitcoin in the long term.
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