Putin Affirms Bitcoin's Resilience, Advocates for Crypto Development

In a bold assertion during an investment conference in Moscow, Russian President Vladimir Putin declared that Bitcoin and other cryptocurrencies are unstoppable forces in the financial world. “Who can ban Bitcoin? Nobody,” Putin stated emphatically on Wednesday, highlighting the inevitability of these digital assets as they evolve to meet modern economic needs.

Putin emphasized the transformative nature of cryptocurrency technologies, which he believes will persist regardless of external factors such as the fluctuating dominance of the U.S. dollar. “These tools will develop one way or another because everyone will strive to reduce costs and increase reliability,” he said, as reported by RIA News.

In a strategic move reflecting Russia’s shifting stance, Putin recently signed a law that classifies digital currencies as property for foreign trade settlements under an experimental legal framework. This step signals the Kremlin’s intent to use cryptocurrencies as part of its broader strategy to mitigate the effects of Western sanctions imposed after its invasion of Ukraine. While crypto remains banned as legal tender within Russia, its role in international transactions is steadily expanding.

Alongside its embrace of cryptocurrencies, Russia is advancing plans for a central bank digital currency (CBDC), targeting a July 2025 rollout. The CBDC pilot program has seen significant growth, expanding from 600 participants to 9,000 as 12 banks collaborate in testing its capabilities.

Russia’s dual approach—embracing decentralized cryptocurrencies for global trade and experimenting with a state-controlled digital currency—underscores its ambition to modernize its financial systems while adapting to an increasingly restrictive global landscape.