Kremlin: Putin's Comment Regarding Bitcoins Should Not Be Taken as Approval

Kremlin spokesman Dmitry Peskov said that Putin's words regarding the potential use of cryptocurrencies as a unit of calculation in some areas of Russia should not be taken as a support for Bitcoins.

MOSCOW — Kremlin spokesman Dmitry Peskov said on Tuesday that Russian President Vladimir Putin's words regarding the potential use of cryptocurrencies including Bitcoin as a unit of calculation in some areas of Russia should not be taken as a support for Bitcoins.

Earlier, the Russian president said during an educational youth forum in the Vladimir region, that the usage of cryptocurrencies in some segments of payments in Russia perhaps would be possible one day, but stressed that "today there are still some real, serious, fundamental problems" with cryptocurrencies, coming from the fact that they are "not really tied to anything and are in no way guaranteed."

"The talk was not specifically about Bitcoins. It was about some forms of conditional payments. It can not be taken as a specific support for Bitcoins," Peskov told reporters.

In June 2015, Chairman of the Russian Central Bank Elvira Nabiullina said that the Bank of Russia understands the attractive sides of Bitcoins for consumers, but also sees the risks of their use.

Bitcoin is one of the most popular virtual currencies. In 2013, the US Senate Committee on Homeland Security recognized the virtual currency as legitimate financial services.